South Korea’s largest crypto exchange may face stricter regulations. The Korea Fair Trade Commission (KFTC) is reportedly set to impose stricter rules by classifying Dunama, the parent company of the country’s largest crypto exchange Upbit, as a ‘large enterprise’. The KFTC considers firms with assets over $4.03 billion under strict regulatory scrutiny. Such companies are required to disclose information about ‘major intracompany dealings’, board decisions and shareholders.
of cryptopotato Report It has been reported in the year that Dunamu raised US $ 8.19 billion in its assets in the year 2021, which brings it within the purview of the rules. Apart from being barred from making mutual investments in case of stringent regulations, the company will face restrictions on debit guarantee, cross-shareholding etc. Dunama’s business grew rapidly last year, which has brought it to the attention of Korean watchdogs.
Under Korean rules, companies larger than $4 billion are required to disclose information about major intracompany deals, board decisions and shareholders. Sources in the Korea Herald have reported that the KFTC wants to regulate Dunama as a non-financial business. She treats the money she has with Upbit as part of her wealth. In this situation, Dunama will face stricter rules. Talking about crypto companies in South Korea, Dunama has achieved a net income of $ 2 billion in the year 2021. She became one of the biggest crypto unicorns in the country.
It is worth noting that the elected President of South Korea, Yoon Suk-yol has given his support to the crypto industry. During his election campaign he publicly stated that those who make profits of less than $40,000 a year from crypto trading will be exempted from paying taxes. Yoon Suk-yol has also requested for easing of crypto regulations in the country.
However, if the rules for Dunama are loosened, it will obviously increase the pressure on the company. He has to share big deals and information. What is the effect of this alleged preparation of KFTC on the country’s crypto market, it will be known in the coming time, if anything like this happens.