South Korea Forms Crypto Task Force

March 24, 2019

Tackling Crime in South Korea

South Korean prosecutors have assembled a joint task force to monitor the cryptocurrency and fintech industry while protecting consumers, amid an 800% rise in crypto- and fintech-related fraud crimes.

The group was created for the sole purpose of fighting crimes involving fraudulent, high value-added business schemes often associated with cryptocurrencies.  Prosecutors say these crimes rose from just 53 in 2016 to 453 in 2017, with around 4,590 prosecutors dealing with such cases by 2018.

 

 

A team of professional investigators and prosecutors will lead the task force, collaborating around the country to safeguard investors and working to recover damages. The task force’s roles and functions will also be disseminated through inspection meetings and surveillance conferences held with heads of relevant departments, while responding to crimes that cause widespread damage to the public.

Functions of the Task Force

The task force will function similar to a research police department, with prosecutors proposing that its responsibilities include tracking accounts and freezing them after detecting illegal activity. The team will also be tasked with determining the best course of action for retrieving stolen funds and applying the necessary recovery methods. Prosecutors will also coordinate with related governmental organizations and councils that play major roles in pushing cases through the system.

Fraudulent Cases

In making their case for creating the Task Force, prosecutors cited multiple instances of high-profile fraud in South Korea’s blockchain space, including Bithumb, Upbit, and several others in 2018. In June of that year, a miscellaneous domestic crypto company called Daegu stole approximately US$9.7 million in damages to 20,000 victims. Eight lenders in October were indicted for stealing about US$62.1 million in damages to 12,000 victims through a peer-to-peer platform scam.

About Asia Blockchain Review

Asia Blockchain Review is the largest initiative for media and community building in Asia for blockchain technology. It aims to connect all blockchain enthusiasts on a regional scale and facilitate the technological foundation of blockchain through a range of group discussions, technical workshops, conferences, and consulting programs.

Our goal is to cultivate and encourage a collaborative community for our members to gather, share their experiences and endeavors in the blockchain space, and brainstorm the potential uses of blockchain technology.

Follow Asia Blockchain Review on:

Related Article
South Korea’s Postal Service to Adopt Blockchain for Billing
South Korea’s national postal service is partnering with Coinplug to apply the technology to its bil...

June 19, 2019

‘F1 Delta Time’ Offers In-Game Items Stored on Blockchain
A Hong Kong-based game developer is integrating blockchain into its titles to allow permanent owners...

June 18, 2019

BLOCKCHAIN: A Game Changer for Regtech
Fast forward to 2019, and RegTech is expected to undergo far-reaching disruption, with blockchain ex...

June 17, 2019

Blockchain Video-on-Demand Platform Introduced at Cannes Film Festival
The first Indian blockchain video-on-demand platform ‘myNK’ was launched at the Cannes Film Festival...

June 13, 2019

We provide information about Asia Blockchain Review latest activities as well as global blockchain news and research. Subscribe to our Newsletter now or Contact us