**Korbit Fined $1.88M, Hit with Warning for AML Violations in South Korea** South Korea’s Financial Intelligence Unit (FIU) — a division of the Financial Services Commission (FSC) — announced on December 31 that cryptocurrency exchange Korbit has received an institutional warning and a 2.73 billion South Korean won (≈$1.88 million) fine for violating anti-money laundering (AML) obligations under the Specific Financial Information Act. The FIU also issued a caution to Korbit’s representative office and a reprimand to its AML reporting officer. The sanctions stem from three key violations uncovered during an on-site inspection held October 16-29, 2024: 1. Roughly 22,000 Customer Due Diligence (CDD) and transaction restriction breaches, including accepting unclear identity documents, allowing transactions with incomplete customer information, and failing to periodically reconfirm customer details. 2. Conducting 19 asset transfer transactions with three unregistered overseas virtual asset service providers. 3. Failing to complete required AML risk assessments before listing 655 new assets, including non-fungible tokens (NFTs).
