President of the Korean Financial Supervisory Service: Will adopt a zero-tolerance policy for improper crypto transactions and actively discuss second-phase legislation

Lee Bok-hyun, chairperson of South Korea's Financial Supervisory Service (FSS), told a meeting with cryptocurrency industry leaders: "We will closely monitor the sudden fluctuations in the price of newly launched tokens or the spread of unconfirmed rumors. If any suspected improper transactions are found, we will concentrate all the investigative capabilities of the regulatory authorities and hold them accountable in accordance with the principle of zero tolerance."
He commented that since the implementation of the Virtual Asset User Protection Law in July, "the virtual asset disciplinary system is being smoothly implemented", but added, "Since there are still some shortcomings, we will carefully check again whether all legal obligations are being properly fulfilled. In particular, with regard to abnormal transaction monitoring obligations, relevant parties are requested to use market information and report content to operate active monitoring systems and actively communicate with regulatory authorities from the abnormal transaction review stage."
He also said that for the second phase of virtual asset legislation, he will actively discuss with policy departments such as the Financial Services Commission, and observe the implementation progress of the first phase of virtual asset law and the trend of self-discipline and international supervision. "In order to resolve regulatory uncertainty and build market trust, we will closely monitor international regulatory trends and actively discuss with relevant organizations the formulation direction of the second phase of the bill."