Markets React to the Police Probe into Kakao Corp (KRX:035720) Owned Upbit, the biggest Crypto Exchange in South Korea

Ten investigators and the local police have launched a probe into the alleged fraud committed by Kakao Corp (KRX:035720) subsidiary Upbit, the largest Crypto Exchange of South Koera. It is the 4th biggest crypto exchange and logs 24 hour trading volume worldwide.

Police have conducted raids into the premises of Upbit on suspicion of faking balance sheets and cheating the investors.

Financial Supervisory Commission of South Korea is reportedly conducting an audit at the Seoul office of Upbit. According to news posts on Social Media by Crypto commentators, the news of raids into Upbit is showing the impact on markets. Reacting to the news, many of the top 100 coins have dropped by 15%.

According to the news published by Cointelepgraph in March 2018, the FSC and the Korean Financial Intelligence Unit (KoFIU) initiated a joint investigation into the corporate accounts of Crypto Exchanges in Korean Banks on suspicion of money laundering activity.

Chief Executive and co-founder of CoinNest, a major crypto exchange in Korea, was detained in April 2018 for allegedly shifting billions of won in the digital accounts of customers into own personal accounts. The regulatory authorities in South Korea have ordered 12 crypto exchanges in South Korea to incorporate protection mechanism.

The current average trading of Bitcoin (BTC) is $8,750 (down 7% on daily basis). The average trading of Ethereum (ETH) is $690 (down 10%).

TMX Group Ltd (TSE:X), Central Bank of Canada Favors Block Chain Technology For Instant Securities Settlements

TMX Group Ltd (TSE:X), Central Bank of Canada and other nonprofit organization payments in Canada have tested the feasibility of using block chain technology for instant securities settlements.

The integrated securities and payment settlement platform is developed by the three organizations with the help of distributed ledger. The same technology favors using crypto currencies such as bitcoin and tokenizing the cash and assets for instant settlement.

Chief Executive Officer and President of Payments Canada, Gerry Gaetz said the conducted test run shows that instant settlement of transactions is possible by swapping the cash between sellers and buyers.