South Korea plans to strengthen the asset verification mechanism for CEX, requiring reconciliation every 5 minutes, daily disclosures, and monthly audits

The Financial Services Commission (FSC) of South Korea requires local crypto CEXs to establish a system that checks the internal ledger against actual crypto asset holdings every 5 minutes by the end of May, and to disclose asset matching balances daily, with monthly external audits by accounting firms.

This move is seen as a tightening of regulations following the incident in February this year where Bithumb mistakenly issued 620,000 BTC to users.