Top South Korean Crypto Exchange Raided by Local Police

South Korea continues to make news in the crypto space.

Late this week, regulators raided Upbit, the country's largest crypto exchange, on suspicion of fraud.

According to Bloomberg, officials are investigating suspicions that the exchange transferred customers' exchange funds to an executive or otherwise separate account.

According to ABC News, as much as 20% of the world's cryptocurrency transactions take place in South Korea.

The South Korean government has been closely scrutinizing the role of cryptocurrencies in the economy, and their unregulated exchanges have been a primary target for their efforts.

Some speculate that South Korean may institute a permitting process for cryptocurrency exchanges and ICOs for now, they are choosing to carefully scrutinize those already in operation.

What's more, South Korean exchanges frequently list digital currencies at much higher prices than in other countries.

In January, CoinMarketCap removed a cadre of South Korean exchanges from their listings, which caused a significant and instantaneous drop in crypto markets around the world.

Upbit is owned by Kakao, South Korea's largest tech company, and it's just one of several South Korean exchanges to face scrutiny from authorities.

Given its outsized role in the crypto economy, it's especially important that South Korean exchanges operate with impunity and integrity.