THELOGICALINDIAN - The South Korean badge are reportedly advancing to allegation Coinones admiral including its CEO and 20 of the exchanges associates This follows a 10month analysis on allegations that the barter provided bank casework through its crypto allowance trading program
Also read: Yahoo! Japan Confirms Entrance Into the Crypto Space
Coinone’s Investigation Concludes
South Korea’s Cybercrime Investigation Unit of the Southern Provincial Police Department appear on Thursday, June 7, its plan to accompany accuse adjoin Coinone over the exchange’s allowance trading service, bounded media report.
Coinone, which opened in August 2014, is the country’s third-largest cryptocurrency exchange, afterwards Upbit and Bithumb. Its 24-hour trading aggregate is $34,342,088 at the time of this writing, according to Coinmarketcap.
The badge are reportedly advising that the prosecutor’s appointment accuse three of Coinone’s executives, including CEO Myunghun Cha, as able-bodied as 20 members. The above will be answerable with accouterment actionable bank casework and the closing with illegally gambling.
In South Korea, bank is a crime beneath Chapter 23 of the Criminal Act.
The analysis of Coinone “on allegations that the barter provided bank casework for allowance trading” began in August aftermost year, the Kyunghyang Shinmun wrote, elaborating:
According to the police, “The case was the aboriginal analysis accompanying to the operation of a basic bill barter and it took ample time to analysis the law,” Yonhap conveyed on Thursday.
Crypto Margin Trading vs Gambling
Coinone and its admiral accept been accused of accouterment cryptocurrency bank casework through its allowance trading affairs from November 2016 to December aftermost year. The barter “allowed associates to barter up to four times the bulk of the drop (margin) and to pay agency in barter for the transactions,” the account aperture described, adding:
The analysis reveals that 19,000 Coinone users, amid ages 20 and 50, had been application the exchange’s allowance service. Most of them are either appointment workers, unemployed, or self-employed. In particular, 20 associates traded over 3 billion won [~US$2.8 million]. The account aperture acclaimed that bank “can be acclimated to aggregate bent proceeds, and accordingly absorption in bill and allowance users will be widened according to the after-effects of the balloon in the future.”
Coinone Denies Charges
Throughout the investigation, Coinone and its admiral denied the accuse and maintained that they “did not apperceive it was actionable because there is a agnate account in the banal market.” An agent of the barter was quoted by the account aperture saying:
What do you anticipate of South Korean charging Coinone for alms bank casework through allowance trading? Let us apperceive in the comments area below.
Images address of Shutterstock and Coinone.
Need to account your bitcoin holdings? Check our tools section.
