South Korea is considering the establishment of its Joint Virtual Asset Crime Investigation Unit, an official agency, in response to the recent increase in fraud and crimes involving cryptocurrency. Talks on this matter are expected to begin in May between key ministries of South Korea. The unit, which was formed in July 2023, currently operates as a temporary agency under the Seoul Southern District Prosecutor’s Office, but there is a possibility of its disbandment. The proposed elevation of the unit would strengthen its standing and operational effectiveness. This reform would enable the appointment of more prosecutors and the provision of specialized financial resources, both crucial for effectively combating digital asset crimes.
The unit, consisting of approximately 30 specialists from seven different tax and financial regulatory bodies, demonstrates South Korea’s determination to fight crypto-related crime and recognizes the growing importance of digital assets in law enforcement investigations. The surge in criminal activity involving crypto has prompted the South Korean government to swiftly impose regulations. In 2023, there was a 49% increase in suspicious transactions recorded by local crypto businesses, reaching a total of 16,076. To address these challenges, South Korea will enact its first comprehensive crypto law on July 19th. This historic rule aims to tackle market manipulation and protect investors. It also imposes stricter penalties, including life imprisonment for certain crimes related to manipulating the cryptocurrency market.
In other crypto news today, Australia is preparing for a potential boom in Bitcoin ETFs amidst record highs.