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South Korean financial regulators have initiated sanctions proceedings against Dunamu, the operator of Upbit
Svmuu News: South Korea’s financial regulator has issued an investigative report to Dunamu, the operator of Upbit, and initiated disciplinary proceedings. This follows a hacking incident in which Dunamu lost 44.5 billion won. The Financial Supervisory Service has been investigating whether there were violations of the Virtual Asset User Protection Act since the incident occurred. However, as there are currently no direct penalty provisions for hacking attacks or computer system failures, it remains uncertain whether this will result in severe disciplinary action. The Financial Supervisory Service plans to provide Dunamu with advance notice of its sanction recommendation—including the level of sanctions—after the company submits an explanatory statement. The final sanctions will be determined by resolutions passed by the Sanctions Deliberation Committee, the Securities and Futures Commission, and the Financial Services Commission.
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