South Korean Court Lifts Business Suspension for Bithumb Exchange

Bithumb has secured a critical legal victory in South Korea after a local judge granted a stay of execution on a six-month partial business suspension. The decision by the Seoul Administrative Court's 2nd Administrative Division effectively halts the sanctions previously imposed by the country's financial regulators. The suspension was originally issued in March by the Financial Intelligence Unit (FIU) following allegations of systemic failures in anti-money laundering (AML) protocols. The regulator claimed Bithumb committed approximately 6.65 million violations, including 3.55 million failures in customer identity verification and 3.04 million instances where required transaction blocks were not implemented. Along with the suspension, the FIU had imposed a fine of 36.8 billion won, approximately $24.6 million. While the court has ended the operational suspension, it remains unclear if the monetary penalty has also been stayed. This ruling comes amid a broader crackdown on the South Korean digital asset sector. Other major players, including Upbit and Korbit, have faced similar penalties for compliance gaps. Additionally, the Personal Information Protection Commission is currently investigating several platforms, including Bithumb and Upbit, regarding the sharing of order books with overseas entities. Established in 2014, Bithumb remains a dominant force in the Korean market by trading volume. The legal win provides immediate operational relief, though the exchange continues to navigate a stringent regulatory environment and recent internal operational challenges.