South Korean regulators have presented the first serious results of the law on protecting crypto asset users. Over two years since its enactment, more than 40 cases of unfair trading have been investigated, and the figures are impressive not only in quantity but also in the scale of financial violations.
The average illegal profit per identified case amounted to approximately 1.4 billion won — roughly $940,000. These figures indicate the systemic nature of the problem: manipulations on South Korean crypto exchanges are not isolated but organized.
The head of the Financial Services Commission (FSC), Lee Eok-won, reported that about 30 cases have already been referred to law enforcement agencies, and investigations have identified 25 suspects. This points to active work by the regulator, which does not limit itself to formal checks but pursues criminal prosecution.
Analysis and Conclusions
South Korea has traditionally been considered one of the strictest jurisdictions regarding cryptocurrencies, and this data only confirms the seriousness of the authorities' intentions. However, the very fact of uncovering more than 40 manipulation cases in two years shows that even strict regulation cannot completely eradicate unfair practices. The market remains attractive to malicious actors due to high volatility and significant trading volumes.
In my opinion, these figures are just the tip of the iceberg. Given the complexity of detecting hidden manipulation schemes, the actual number of violations could be several times higher. Investors should remember: even in the most regulated jurisdictions, the crypto market remains a high-risk zone, and relying solely on legal protection is shortsighted.