search newsletter login upgrade


South Korean cryptocurrency exchanges to be held liable for any lost assets in future

June 17, 2019, 5:45AM EDT

Five cryptocurrency exchanges in South Korea including Bithumb have changed their terms of service to state they will be liable for user losses after a cyber attack or system malfunction - regardless of whether they were “willfully or grossly negligent”, Yonhap Press Agency writes. 

The move follows a recommendation from the Fair Trade Commission last year. Previously, the exchanges would only pay compensation if user funds were stolen as a result of the firms' negligence.

Just last year, 35 billion won ($31.5 million) in cryptocurrencies were stolen from Bithumb.

Related Reading