 and requested pertinent data regarding Avail's unusual trading on Bithumb from financial officials.){kind=link}
South Korean lawmakers have once again tightened their grip over the crypto industry’s functioning. The lawmarkers in the nation have blasted Avail (AVAIL) and requested pertinent data regarding Avail’s unusual trading on Bithumb from financial officials.
According to local media reports, Avail’s listing price had a strong increase before a dramatic decline. Legislators from South Korea have previously criticized Sui in a similar manner.
The controversy surrounding Avail has centered on fictitious transactions, foreign money laundering, and suspicious trading. Specifically, the lawmakers suggest that an anonymous X (previously Twitter) user going by the handle “Ild Farming” was selling Avail on behalf of foreigners who were unable to use domestic virtual asset exchanges.
South Korea Tightens Grip Over Crypto Industry
The current allegations on AVAIL and the previous ones on SUI seem to be in tandem with South Korea’s efforts to bring illicit crypto activities under check.
Just previously, the financial watchdog of South Korea has opened an inquiry into Upbit’s market dominance as the biggest cryptocurrency exchange in the country. The Financial Services Commission of South Korea has reportedly stated that it will investigate Upbit’s market monopolistic structure.
All these efforts to bring more regulations into the crypto realm are a direct result of the growing use of virtual assets in South Korea.
According to official data, the South Korean won (KRW) surpassed the US dollar to become the most actively traded currency in the worldwide cryptocurrency market in the first quarter of 2024.
Significant trading volume and active individual investor participation are indicators of the South Korean crypto market’s growth. By the end of 2023, almost 10% of South Koreans were trading cryptocurrencies.
According to data from the Korean Financial Intelligence Unit (KOFIU), there were 6.45 million active users on registered cryptocurrency exchanges at the end of 2023, an increase of 390,000.
Rising Crypto Scams In South Korea
Previously, South Korean financial officials have warned investors to be on the lookout for fraudulent activities related to coin investment as new cryptocurrency scams have become widespread in the nation.
In the most common scam in the country, cryptocurrency con artists have defrauded prospective investors of their money by claiming to be selling popular currencies that are listed at significant cryptocurrency exchanges for less than market value.
The South Korean government has therefore started taking appropriate steps to make sure that these scams and illicit activities are kept in check.
To ensure this, lawmakers and advocates are trying to bring multiple investigations under judicial notice to make sure that the nations dominance as a crypto-hub is maintained.