Blazpay Shakes Hands with Astra Network to Merge Wearable Data with DeFi Innovation

PANews reported on December 7th that, according to Yonhap News Agency, South Korea's Financial Services Commission is reviewing a plan to add a clause to the draft "Second Phase of Virtual Asset Legislation," stipulating that virtual asset operators will be liable for damages even if they are not at fault in the event of a hacker attack or computer accident. This plan aims to impose the same "no-fault liability" on operators of virtual asset exchanges as financial companies in response to hacker attacks or computer accidents. From 2023 to September 2025, the five major South Korean won exchanges (Upbit, Bithumb, Coinone, Korbit, and GOPAX) experienced a total of 20 computer system incidents. Furthermore, a plan is currently under discussion to increase penalties for hacking incidents to the level stipulated in the Electronic Financial Transactions Act. The South Korean National Assembly is currently reviewing an amendment to the Electronic Financial Transactions Act, which proposes fines of up to 3% of a financial institution's sales revenue for hacking attacks. If this bill is passed, virtual asset operators could also face similar fines. Currently, the maximum fine for virtual asset operators is 5 billion won.

The post South Korea Revisits Crypto Exchange Liability Amid Hacking Risks appeared on BitcoinEthereumNews.com. Key Points: South Korea considers no-fault liability for virtual asset exchanges. Legislation aims to enhance operator accountability in cyber attacks. Pending fines could reach 3% of sales for hacking cases. South Korea’s Financial Services Commission is contemplating imposing no-fault liability on virtual asset operators for hacking-related damages, according to a Yonhap News Agency report on December 7. This potential legislation aligns virtual asset operators with financial institutions, impacting regulatory dynamics and market stability in South Korea’s evolving crypto sector. South Korea Targets Crypto Exchanges with 3% Sales Fines The Financial Services Commission (FSC) of South Korea is considering adding a clause to its draft legislation, imposing no-fault liability on virtual asset operators. This move follows a series of 20 computer incidents on top Korean won exchanges, emphasizing the need for enhanced security measures. The FSC aims to align virtual asset exchange liabilities with those of financial companies. South Korean lawmakers are debating stricter penalties, with proposed fines reaching 3% of sales revenue, paralleling measures in the Electronic Financial Transactions Act. Current maximum fines are capped at 5 billion won. This legislative shift reflects the government’s commitment to improving user protection and response strategies in the crypto sector. Industry reactions have been mixed. While there has been no official statement from major exchanges like Upbit and Bithumb, stakeholders are closely monitoring developments. Discussions on cryptocurrency forums and social media emphasize the potential impact on exchange compliance efforts and security enhancements. No-Fault Liability: Potential Game-Changer for Crypto Compliance Did you know? The concept of no-fault liability is already applied to South Korean banks for voice phishing cases, setting a precedent for proposed crypto exchange regulations. According to CoinMarketCap, Bitcoin (BTC), as of 06:31 UTC on December 7, 2025, has a market cap of $1.79 trillion. The 24-hour trading volume declined by 41.05%…

PANews reported on December 7th that OKX founder Star responded to the debt dispute with Li Feng of Moore Threads on the X platform, stating, "People cannot dwell in the shadow of a negative past. Let's look to the future and contribute more positive energy. Let the law handle the debt issue. Best wishes to every entrepreneur." Previous reports indicated that Li Feng, co-founder of Moore Threads, the "first domestic GPU stock," was exposed for issuing cryptocurrency to raise funds and for borrowing 1,500 BTC without repaying.