In a remarkable ruling, the Seoul Central District Court in South Korea recently cancelled the huge fine imposed by the Financial Intelligence Analysis Service (FIU) on virtual asset exchange Hanbitco. The fine amounted to 1.9942 billion won due to KYC (know your customer) violations. However, the court pointed out that the FIU failed to provide sufficient evidence to prove that 197 customers met the "aggravated conditions" of the Special Financial Law and did not conduct sufficient investigations.
This ruling may have an impact on the FIU's future KYC reviews of other exchanges, especially the 700,000 violations of Upbit that are under investigation. Compliance issues in the blockchain industry have once again become the focus. 🔍