South Korea probed 40 crypto manipulation cases in two years

The latest two-year figures show enforcement has moved beyond individual cases. The FSC said authorities have targeted short-term price manipulation and other trading patterns that can distort markets. Lee added that regulators plan to improve surveillance, investigation and monitoring systems with artificial intelligence and focus more closely on high-risk areas.

"We will continue to enhance market surveillance, investigation and monitoring systems based on AI," Lee said. The regulator has not disclosed a full public list of the 40-plus cases or detailed the status of every referral.

Meanwhile, South Korea continues to expand its digital asset rules. The government is moving to bring cryptocurrencies and other digital assets under a new state asset management framework. The proposal would extend state asset rules beyond traditional holdings such as real estate.

Authorities have also increased scrutiny of unregistered crypto operators. Crypto.news reported in June that the Financial Intelligence Unit had referred about 40 unregistered operators to law enforcement and warned users about risks tied to platforms operating outside the country's registration system.

The Virtual Asset User Protection Act took effect on July 19, 2024, as South Korea's first dedicated law focused on crypto user protection and unfair trading. Two years later, regulators are using the framework to pursue alleged market abuse while preparing wider digital asset rules and new monitoring tools.