Coin

<ul class="wp-block-list news-points"> 
 <li>South Korea mandates insurance for defunct crypto exchanges to protect user assets.&nbsp;&nbsp;</li> 
 <li>Virtual Asset User Protection Act enforces strict measures on crypto exchanges’ operations.&nbsp;&nbsp;</li> 
 <li>Non-compliance with South Korea’s crypto rules can result in fines or service suspension.</li> 
</ul> 
South Korea’s Financial Supervisory Service (FSS) now requires defunct cryptocurrency exchanges to obtain insurance to safeguard user assets. This measure comes as part of a wider initiative to bolster investor protections following the recent implementation of the Virtual Asset User Protection Act, South Korea’s first comprehensive regulatory framework for the crypto industry. 
The new insurance mandate aims to protect assets held by bankrupt exchanges, mitigating risks associated with potential <a href="https://coinedition.com/south-korea-cracks-down-on-crypto-crime-new-unit-to-tackle-lazarus-group-threat/">hacking incidents</a>. Several exchanges that have shut down, including GDAC and Hanbitco, have already secured insurance coverage. 
<a href="https://coinedition.com/huobi-crypto-exchange-acquired-by-about-capital-management/">Huobi Korea</a>, another major exchange, is reportedly considering taking similar steps to meet this regulatory demand. This insurance mandate directly enforces the Virtual Asset User Protection Act, ensuring user funds remain protected even after an exchange closes. 
The Virt…
The post <a href="https://coinedition.com/south-korea-mandates-insurance-for-closed-crypto-exchanges/">South Korea Mandates Insurance for Closed Crypto Exchanges</a> appeared first on <a href="https://coinedition.com">Coin Edition</a>.

South Korea Mandates Insurance for Closed Crypto Exchanges

Coin Edition

Other articles published on Aug 13, 2024

WazirX Update: Restitution of Trades and New Security Measures Underway

XRP Sees $12 Billion Surge: What's Happening?

Toncoin (TON) Technical Outlook: Evaluating Resistance, Support, and Market Sentiment

Analyst Predicts Crypto Crash if US Recession Hits

New memecoin presale to watch: Crypto All-Stars raises $300k in opening days

Can MATIC Reclaim Top 20 Spot Over Litecoin (LTC) or Will Revenue Sharing Rollblock Become A New ...

Join our free newsletter for daily crypto updates!