Financial Authorities: "One Week Left to Report Virtual Asset Service Providers... Need to Confirm Business Closure or Suspension Status"

[Asia Economy Reporter Ji-hwan Park] Financial authorities have urged investors to exercise caution as the deadline for virtual asset service providers (VASPs) to register approaches in one week. They emphasized the importance of verifying whether the VASP being used has registered or closed down, and to immediately report if cases arise where withdrawal requests for deposits or virtual assets are denied.

On the 17th, the Financial Services Commission (FSC) stated, "Please check whether the VASP you are using has registered, closed, or plans to suspend operations." With the registration deadline set for the 24th, about one week away, it may become difficult to retrieve deposits or virtual assets if the business closes or suspends operations.

The FSC stressed, "If a business is closing or planning to completely suspend operations, users should immediately stop using the service and withdraw their deposits and virtual assets." The financial authorities also advised that if the registration plan appears uncertain or unstable, it is safer to proactively withdraw deposits and virtual assets and monitor the situation.

The FSC further emphasized the need to verify the registration approval status even for businesses that have submitted registration. Even if registration was submitted within the deadline, there is a possibility of final rejection if requirements are not met. Additionally, extra caution is advised for virtual assets listed only on specific exchanges, as exchanging them for cash may be difficult.

In cases where a virtual asset business refuses or delays withdrawal requests for deposits or virtual assets, or suddenly suspends operations, immediate reporting to the Financial Intelligence Unit, the Financial Supervisory Service, or the police is urged.

An FSC official stated, "Registered businesses are those that meet anti-money laundering requirements, but risks from hacking, illegal activities, and other damages still exist," adding, "The value of virtual assets is not guaranteed by the government, businesses, or anyone else, so investors should exercise caution."

This content was produced with the assistance of AI translation services.