The Korea Customs Service (KCS) published a press release on Jan. 31 on the status of illegal foreign currency exchanges using digital currency, which reportedly totals 637.5 bln won (about $600 mln).

The report gave examples of the largest cases when digital currency was illegally exchanged, citing 416.9 bln won ($391,886,000) illegally exchanged and 21.5 bln ($20,113,250) remitted due to insufficient funds between Australia and South Korea.

Another example involves Japan, where reportedly 53.7 bln won ($50,478,000) was illegally remitted from Japan to South Korea.

“In the future, the KCS will investigate illegal foreign exchange transactions and money laundering charges against foreign exchange operators or virtual currency buying agents […] it will continue systematic and continuous crackdowns such as [on] […] the act of portraying tariffs or using virtual currencies as trading funds for smuggled tobacco, drugs and other illegal goods.”

South Korean crypto markets have seen turmoil this past month after stricter regulations on crypto trading were introduced, including prohibiting the opening and use of anonymous trading accounts, a law which took effect Jan. 30, and a false report of a country-wide crypto ban. CT reported earlier today that the South Korean finance minister has reaffirmed that there will be no ban on crypto in the country.