[Bitcoin Now] Financial Services Commission Decides to Report Virtual Asset Price Manipulation Suspects: "Tens of Billions Involved"

On November 5, the Financial Services Commission announced at a regular meeting that it will file complaints with investigative agencies against individuals suspected of manipulating virtual asset prices.

The first type of case was detected during the Financial Supervisory Service's monitoring of the virtual asset market. The suspect, who possessed a large amount of funds, manipulated prices by purchasing virtual assets in advance, submitting sell orders at a target price, and then artificially driving up the price to that target. The financial authorities have determined that the suspect gained illicit profits amounting to several billion won.

The second case involved multiple individuals manipulating prices across multiple assets. When one person selected and announced the target assets for price manipulation, the other suspects repeatedly traded using automated trading programs (APIs) to make it appear as if trading activity was high. Even while the API was operating, they divided roles by repeatedly submitting high-priced buy orders themselves to further drive up prices.

The financial authorities stated, "In these cases, the suspects also lured buyers by employing a form of odd-lot trading. Submitting excessively repetitive orders in a short period to attract buyers is strictly prohibited as a form of price manipulation under the Virtual Asset User Protection Act, so particular caution is required."

The Financial Services Commission and the Financial Supervisory Service are continuously monitoring unfair trading in the virtual asset market. They immediately launch investigations and take action upon detecting suspicious transactions. In cooperation with virtual asset exchanges, they are strengthening monitoring of unhealthy trading practices at every stage of market surveillance, from order submission by users to detection and review of abnormal transactions.