South Korea plans six‑month partial suspension for Bithumb exchange

Regulators issue preliminary action on Bithumb

South Korea’s Financial Intelligence Unit (FIU) issued a preliminary notice for a six‑month partial business suspension against the Bithumb crypto exchange. The notice cites breaches of anti‑money‑laundering rules, including failures in customer checks and reporting suspicious activity. Bithumb is a major crypto exchange in South Korea for trading digital assets like Bitcoin and Ethereum. The case falls under South Korean anti‑money‑laundering laws that govern how financial firms handle high‑risk transactions.

Partial suspension expected to focus on new users

The proposed sanction is a partial suspension, not a complete shutdown of all Bithumb services. Local reports state that existing customers should continue trading on the platform during the six‑month period. Reports indicate restrictions for new account openings and some withdrawals to external wallets. Final details can still change because the measure remains in a preliminary stage.

"Nothing has been finalized yet, and the decision is scheduled to be finalized at the sanctions review committee on the 16th.", 09 March 2026. — Unnamed spokesperson, Bithumb

AML inspection findings drive the case

The action follows an earlier anti‑money‑laundering inspection of Bithumb by the Financial Intelligence Unit in 2025. Media summaries report that inspectors found weak know‑your‑customer procedures, poor reporting of suspicious transactions, and dealings with unregistered domestic and overseas exchanges. Reports state that regulators based the proposed six‑month penalty and related financial sanctions on these past compliance failures. The case shows how earlier inspection results now shape current enforcement steps against Bithumb.

Sanctions committee will decide final outcome

A sanctions review committee under the financial authorities will decide the final scope of penalties later in March 2026. The committee can confirm, adjust, or soften the six‑month partial suspension proposed in the preliminary notice. Bithumb has stated through spokespersons that the current step is a preliminary warning and that changes remain possible. The final decision will determine how long specific Bithumb services face limits under the enforcement action.