Bithumb Faces Regulatory Scrutiny Following Upbit Fine

South Korea's Financial Intelligence Unit (FIU) has taken action against cryptocurrency exchange Bithumb, proposing six-month partial business suspension and administrative fines in the tens of billions of won.

The proposed measures are similar to those imposed on Upbit in November 2025, but with a longer suspension period and potentially higher monetary penalties. The FIU's decision is subject to finalization, and details such as which product lines will be suspended and when measures will begin remain to be determined.

The case has sparked concerns about the scope of regulatory actions, with observers noting that the breadth of contemplated actions signals tougher expectations for virtual asset service providers. The incident reflects growing scrutiny of exchange infrastructure and governance, in addition to routine KYC checks.