Upbit Suspends Large Crypto Transactions

Upbit, one of South Korea’s biggest cryptocurrency exchanges, is temporarily halting deposits and withdrawals of digital assets worth more than 1 million won (approximately $721). This decision comes as a response to changes made by the virtual asset service provider (VASP) Ten&Ten, which had been facilitating these transactions. Upbit revealed in a blog post on April 17 that the suspension is due to the termination of Ten&Ten’s Travel Rule Solution service. Ten&Ten ceased transaction support on April 15, and users have until April 22 to withdraw their crypto assets.

Ten&Ten played a significant role in allowing Upbit to offer deposits and withdrawals of over 1 million won. Other VASPs that permitted these transactions include Bblock, Gopax, FlatExchange, Aprobit, Prabang, Borabit, BTX, Flybit, Foblegate, Bithumb, Coinone, Korbit, Coredocs, GDAC, Hanbitco, Qbit, Korea Digital Asset Trust (KDAC), and Oasis Exchange.

According to a report published on April 10 by the European Union (EU), Upbit ranks second in market share after Binance, with approximately 528.57 billion. In the first quarter of 2024, the South Korean won (KRW) surpassed the U.S. dollar in terms of crypto trading volume. Data from Kaiko shows that KRW transactions on centralized exchanges reached over $456 billion, slightly surpassing the cumulative volume of USD, which was approximately $455 billion.

South Korean financial authorities are now planning to introduce new guidelines that will impose stricter regulations for token listings on centralized crypto exchanges by the end of April or early May at the latest. They also plan to prohibit the listing of digital assets associated with hacking incidents on domestic exchanges unless a thorough investigation determines the root cause.

At the beginning of April, Upbit’s 24-hour trading volume dropped to $3.8 billion after reaching a peak in March. On March 5, the exchange recorded its highest trading volume for the year, with almost $15 billion in daily trading volume. This surge in activity could be attributed to Bitcoin’s new all-time high of $69,200, which was achieved on the same day.

In related news, Hong Kong’s financial regulator has reportedly granted approval for three spot Bitcoin exchange-traded funds (ETFs). These ETFs are expected to be listed on the Hong Kong Stock Exchange in approximately two weeks’ time.

Aguinaldo Sharrow

Aguinaldo Sharrow

6 thoughts on “Upbit Suspends Large Crypto Transactions

  1. It’s important for users to be aware of the withdrawal deadline. Don’t miss it! 📆

  2. I’m curious to see how Upbit will handle this situation. Stay strong, Upbit!

  3. Hong Kong approving Bitcoin ETFs is a positive development for the crypto industry.

  4. Upbit’s ranking may have dropped after this suspension. It’s not a good look for the exchange’s reputation and market share.

  5. Upbit’s surge in trading volume was short-lived. It’s disappointing to see it drop so quickly after reaching a new high.

  6. I relied on Ten&Ten for transactions on Upbit, and now they’ve discontinued their service. This is so disappointing and inconvenient.

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