South Korea Implements Official Virtual Asset User Protection Law!
🔔 On July 19, 2024, Korea officially implemented the law to protect users of virtual assets! This is an important step to protect investors and prevent fraud in the cryptocurrency market.
💥 Highlights of the new law:
🔺Prevent insider trading and market manipulation: Violations will be punished with imprisonment of one year or more or a fine of three to five times the illegal profits.
🔺Life sentence: For those who illegally profit over 5 billion won (about 3.8 million USD).
🔺Regularly evaluate tokens: Exchanges must periodically evaluate tokens at least every six months, ensuring compliance with new security standards.
📊 Strictly managed by FSC:
🔺The Financial Services Commission (FSC) will closely monitor the activities of virtual asset service providers, prevent unfair transactions and protect users.
🔍 Background:
🔺This law was enacted after the collapse of Terraform Labs and its founder Do Kwon caused more than 450 billion USD in losses in May 2022.
