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 proposal are expected to begin in May between key Ministries of South Korea. Currently functioning as a temporary agency under the Seoul Southern District Prosecutor’s Office, the unit’s standing and operational effectiveness will be strengthened by the proposed elevation. This reform will enable the appointment of more prosecutors and the provision of specialized financial resources, which are crucial for combating digital asset crimes.
The unit, formed in July 2023, consists of approximately 30 specialists from seven different tax and financial regulatory bodies. Its promotion to an official department reflects South Korea’s determination to combat crypto-related crime and its recognition of digital assets as a significant area of investigation for law enforcement.
The surge in criminal activity involving cryptocurrencies has prompted the South Korean government to swiftly implement regulations. In 2023, there was a 49% increase from the previous year, with 16,076 suspicious transactions recorded by local crypto businesses. To address these challenges, South Korea will enact its first comprehensive crypto law on July 19th. This historic rule aims to resolve various issues, including market manipulation and investor protection. Manipulating the cryptocurrency market will become more difficult, and certain crimes may carry life imprisonment sentences.
In other crypto news today, Australia is preparing for a boom in Bitcoin ETFs amidst record highs.
