Bitcoin

The South Korean government, through its Financial Services Commission (FSC), plans to investigate the Upbit monopoly structure. The recent market dominance by Upbit has caused concerns especially after the firm partnered with K-Bank, a digital bank, which is planning to go public soon. The partnership has paved way to massive changes in the virtual asset market and shifting of deposit systems in K-Bank while posing threats to the financial system.During a National Assembly <a href="https://news.einfomax.co.kr/news/articleView.html?idxno&#61;4327737" rel="noopener noreferrer nofollow">audit</a>, Lee Kang-il, the Democratic Party leader, indicated that Upbit, which is now the second largest cryptocurrency exchange, has a large share of the <a href="https://cryptotale.org/south-korean-public-pension-fund-invests-34m-in-mstr-shares/" rel="noopener noreferrer nofollow">South Korean</a> cryptocurrency market and added that the exchange’s influence expanded after its partnership with K-Bank.Lee highlighted the financial connection between the two companies. Out of K-Bank’s total deposits of 22 trillion Won, Upbit accounts for 4 trillion Won, or 20%. He warned that any disruption in Upbit&#39;s operations could trigger a bank run on K-Bank. Such a scenario could create instability in the banking sector, as Upbit&#39;s deposits make up a large share of K-Bank&#39;s reserves.Related: <a href="https://cryptotale.org/global-crypto-regulations-japan-south-korea-lead-the-way/" rel="noopener noreferrer nofollow">https://cryptotale.org/global-crypto-regulations-japan-south-korea-lead-the-way/</a>The lawmaker also questioned the terms of cooperation, which stated that K-Bank provides a 2.1% interest rate to Upbit&#39;s customers. He pointed out that this agreement is good for Upbit but creates a burden on K-Bank, a company with a profit margin of less than 1%. Lee also pointed out that this relationship undermines the policy of a clear separation between finance and industry.<a href="https://cryptotale.org/upbit-faces-monopoly-probe-amid-k-bank-partnership-concerns/" rel="noopener noreferrer nofollow">Read more on Cryptotale.</a>Visit the links for more information <a href="https://cryptotale.org/" rel="noopener noreferrer nofollow">Website</a> | <a href="https://twitter.com/cryptotalemedia" rel="noopener noreferrer nofollow">Twitter </a>| <a href="https://t.me/cryptotale_news" rel="noopener noreferrer nofollow">Telegram </a>| <a href="https://www.instagram.com/cryptotalenews/" rel="noopener noreferrer nofollow">Instagram </a>|

Upbit Faces Monopoly Probe Amid K-Bank Partnership Concerns

CryptoTale

Other articles published on Oct 10, 2024

Overturned Chevron deference likely won’t impact crypto regulation: Tom Emmer

US election outcome won’t stop Bitcoin from hitting $100K: Dan Tapiero

Ubisoft Introduces Its First Blockchain Game

Warning Issued: Are These 20 Cryptocurrencies Heading for a Major Crash?

Binance's 60th Launchpool Project: What is Scroll?

The Ultimate Guide to the 4 Top Crypto Seed Rounds for Q4

Join our free newsletter for daily crypto updates!