Blockchain

South Korean exchange Zeniex shut down by financial authorities

Top ten South Korean crypto exchange Zeniex began returning funds to investors today, after shutting last Friday due to a government crackdown on trading platforms operating without a licence.

Operations will come to a complete halt on 23rd November. And expansion to other countries will likely now not happen. The exchange has asked its customers to withdraw their assets before the final date.

The move comes after an investigation by the country’s financial authorities into a Zeniex fund dubbed Zxg Crypto Fund No. 1 (ZXG).Zeniex and its Chinese partner, Genesis Capital, will return the funds invested in ZXG in Ethereum.

The Financial Services Commission (FSC) told Business Korea that the firm failed to be registered by the Financial Supervisory Service as required by South Korea’s Capital Market Act.

“With recent issues regarding ZXG, we have gone through great deliberation both internally and externally,” Zeniex explains. “As a result, we have concluded that continuing to operate such service will be difficult. It is with much regret to announce that all services of Zeniex will be terminated on 23rd November.”

The South Korean Financial Services Commission (FSC) in October warned investors about doing business with cryptocurrency exchanges and investing in initial coin offerings (ICOs). It stated that there are no regulations in place that would protect investors.

Staff Writer

Disqus Comments Loading...

Recent Posts

Here is why Bitcoin is still a lucrative investment in 2024

Those who enter the market at this time may be surprised to hear that Bitcoin…

1 month ago

Zircuit Launches ZRC Token: Pioneering the Next Era of Decentralized Finance

George Town, Grand Cayman, 22nd November 2024, Chainwire

1 month ago

The surge of Bitcoin NFTs: Everything you should know about Bitcoin ordinals

From digital art to real-estate assets, NFTs have become a significant attraction for investors who…

2 months ago

MEXC Partners with Aptos to Launch Events Featuring a 1.5 Million USDT Prize Pool

Singapore, Singapore, 21st October 2024, Chainwire

2 months ago