Financial watchdog urges virtual asset operators to bolster internal controls
Quick Look
South Korea's financial watchdog urged virtual asset market operators to strengthen internal controls and monitoring systems to regain market confidence and protect customers amid a slump in the first half of the year.
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Why It Matters
The chief of South Korea's financial watchdog urged virtual asset market operators to bolster their internal control systems to help the market develop further.
SEOUL, July 2 (Yonhap) -- The chief of the country's financial watchdog said Thursday that virtual asset market operators are urged to beef up their internal control systems to help the market further develop.
In a meeting with the heads of Dunamu, Coinone and 13 other virtual asset exchange operators, Lee Chan-jin, governor of the Financial Supervisory Service (FSS), said the domestic virtual asset market has been in a slump in the first half of the year due to a series of accidents.
"In order to regain market confidence and shift toward an established market, operators need to strengthen their internal control," Lee stressed.
Lee also said the virtual market operators need to enhance their monitoring systems and information technology (IT) infrastructure to detect distortions and boost market fairness, and thus, better protect customers.
Open Questions
- What specific accidents led to the market slump?
- What are the FSS's specific requirements for internal controls?
