South Korea Considers Freezing Crypto Accounts Linked to Market Manipulation
Written by Ohris M. Greyoon, Blockchain & Crypto Expert
- Regulatory Upgrade: South Korea's Financial Services Commission is reviewing a proposal to freeze crypto accounts suspected of market manipulation without a court warrant, enhancing regulatory efficiency and preventing illicit fund transfers.
- Transaction Suspension Mechanism: The new proposal would allow regulators to temporarily halt crypto transactions linked to suspected activities like front-running or wash trading, aiming to reduce the current judicial approval delays and improve market transparency.
- Legal Framework Enhancement: Since April 2025, South Korea amended its Capital Markets Act to allow freezing of accounts involved in unfair trading, and this proposal extends that framework to digital assets, indicating a strong focus on the crypto market.
- Comprehensive Regulatory Trend: This proposal is part of a broader tightening of regulations in South Korea, aiming to align digital asset markets with traditional finance standards, with potential future regulations on stablecoins and stricter controls on market abuse expected.
About the author
Ohris M. Greyoon
Ohris M. Greyoon holds a Master’s in Computer Science from MIT and has 10 years of experience in blockchain technology and cryptocurrency markets. A pioneer in decentralized finance (DeFi) analysis, he leads Intellectia’s Crypto News, offering cutting-edge insights into digital assets.
