Exchange
Upbit Exchange's First Public Disclosure and Compliance with Virtual Asset User Protection Act
Friday. July 19 at 12:00 AM
1 min. readUpbit Exchange, the largest digital asset trading platform in Korea, made its initial public disclosure on July 18 as the country transitions into a new regulatory era under the Virtual Asset User Protection Act. The legislation, effective Friday, brings crypto operators and asset custodians under the oversight of the Financial Services Commission and the Bank of Korea. Upbit's Transparency Report, released on the same day, introduces the Upbit Market Monitoring System to prevent price manipulation and restrict trading by employees and their families. The exchange aims to comply with the new regulations by curbing insider trading, price manipulation, and unfair trading practices. Despite its success, Upbit has faced scrutiny for potential market manipulation, particularly with altcoins. Korean exchanges like Upbit thrive under clear regulatory frameworks, unlike major players in the US. Traders in Korea have been known to engage in pumping and dumping altcoins, exploiting the Kimchi premium and facing challenges due to strict capital controls.