South Korea Urges More Cold Storage After Binance Hack
Regulators want stronger security after withdrawals, citing a rule that already requires exchanges to keep at least 80% of user assets offline.
- On Monday, South Korea's Financial Services Commission urged domestic crypto exchanges to increase assets held in offline cold storage following the $6.3 billion attack on Binance last week.
- Attackers stole about $6.3 billion from Binance's internet-connected hot wallets, moving the funds in about 20 minutes, according to blockchain intelligence firm TRM Labs.
- South Korean law currently requires exchanges to hold 80% of assets in cold storage, though Upbit reported 99.17%, Bithumb 94.76%, and Coinone 85% in September.
- During an emergency meeting with the Financial Supervisory Service and DAXA, regulators requested operators implement active monitoring of deposits and withdrawals plus increased incident response staffing.
- The Bank of Korea is separately surveying 18 banks and 13 brokerages about crypto-related risks, while other countries could follow if Korea tightens cold storage rules.
23 Articles
23 Articles
(Seoul = Yonhap News) Reporter Yoo Dong-hyun = As the overseas virtual asset exchange Binance promises to fully preserve assets stolen in a hack, attention is also turning to measures to strengthen the responsibility of domestic exchanges...
South Korea demands stronger crypto safeguards following Binance hack
The article was updated with information from News1 Korea. South Korea’s Financial Services Commission has directed domestic cryptocurrency exchanges to hold more assets in cold wallets and strengthen their financial reserves following the $6.3 billion Binance hack on October 29.…
Cointelegraph
The New York LedgerSouth Korea Urges More Cold Storage After Binance Hack
South Korea’s financial regulator has urged crypto exchanges to increase cold wallet holdings and tighten security after Binance suffered a record $6.3 billion hack.
24/7 Wall St.
BizTocSouth Korea Just Told Exchanges to Keep More Crypto Offline. Should You Do the Same?
After a wave of hacks hit Binance, BTCPay Server, and Mercado Bitcoin within days of each other, South Korean regulators called an emergency meeting and demanded exchanges lock more coins offline. Whether that protects you depends on a risk most crypto holders have never calculated.
South Korea FSC orders crypto exchanges to boost cold-wallet custody
South Korea's Financial Services Commission requested domestic crypto exchanges to increase cold-wallet custody, monitor transfers, and build reserves following the Oct. 30 Binance hack. Read the original on FSC orders crypto exchanges to boost cold-wallet custody after Binance hack. For more crypto news and analysis, visit TheCurrencyAnalytics.com.
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