UpBit is under investigation for transferring customer funds from their accounts to an "executive" account.
Prosecutors in South Korea are looking into the activities of a top cryptocurrency exchange, Upbit. "Your assets are kept secureñy in your account, so you can rest assured that you can use Upbit services".
South Korean officials have intensified their scrutiny of the country's cryptocurrency exchanges in recent months.More news: White House official derides McCain over Haspel opposition: 'He's dying anyway'
The exchange also runs a scheme whereby it rewards whistleblowers of multi-level marketing scams disguised as ICOs.
The investigation into UPbit is still ongoing and the local police is yet to release its finalized report on the situation. Original complainants were offered as much as 1 million won (approximately $900 USA dollars). The exchange stressed that all customer services were available and their accounts safe. Kim Ikhwan the founder as well as another executive were taken into custody in early April. He left the company in 2015 after being accused of failing to prevent the spread of child pornography on Kakao services.
Seoul has sought to cement the legitimacy and transparency of the cryptocurrency exchange sector this year, obliging operators to square their tax bills retrospectively for 2017 and adhere to a strict ban on anonymous trading.
Some speculate that South Korean may institute a permitting process for cryptocurrency exchanges and ICOs, but, for now, they are choosing to carefully scrutinize those already in operation.
The primary aim is to access the company's central computer system in order to audit the virtual currency holdings and either clear up the exchange's name or take legal action.