Korea Financial Supervisory Authority initiated sanctions procedures in connection with Upbit hacking

According to the Korean Federation, the Korea Financial Supervisory Authority (FSS) has sent an inspection opinion to the operator Dunamu and initiated sanctions procedures in connection with the November 2025 hacking of 44.5 billion won (approximately $29.6 million). Dunamu stated that 2.6 billion won of these assets had been frozen and promoted and that users valued at 38.6 billion won had been fully compensated with their own assets. The extent of the final penalty remains uncertain due to the absence of a penalty provision in the current Virtual Asset User Protection Act that directly targets hackers and information system accidents。