FSS Establishes New Bureaus to Regulate Cryptocurrency Market Ahead of Regulatory Changes

The Financial Supervisory Service (FSS) is establishing two new bureaus, the ‘Virtual Asset Supervision Bureau’ and the ‘Virtual Asset Investigation Bureau,’ dedicated to overseeing and regulating the virtual asset  market. This decision comes ahead of the implementation of the ‘Virtual Asset User Protection Act’ in July of the following year.

The Virtual Asset Supervision Bureau will oversee virtual assets, supervise operators, monitor the market, and work on system improvements to establish market order and protect users. It aims to create a regulatory framework for virtual assets and ensure market stability.

On the other hand, the Virtual Asset Investigation Bureau will focus on investigating unfair trade practices in the market to prevent disruptions and safeguard users from transaction-related damages.

This reorganization aims to strengthen the Financial Supervisory Service’s role in supervising and regulating the virtual asset market, a responsibility previously held by the Financial Intelligence Unit (FIU) under the Financial Services Commission. Previously, the Financial Supervisory Service had a digital asset research team supporting crypto legislation and monitoring the market, but this new move is expected to significantly enhance its involvement in the cryptocurrency market.

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