South Korea Imposes ~$55,000 Fines On a Crypto Operator As Cryptocurrency Prices Are At an All-Time High

cryptocurrencyWe all know the importance of data integrity and confidentiality, especially when it comes to financial details and any sensitive personal information which is susceptible to misuse, fraud, or theft. But, unfortunately, we do have cases of data leaks happening, although there are legal penalties that can be imposed on the culprit. When there are leaks that happen in the regulated finance sector, the same is possible in the unregulated sector such as cryptocurrency markets in spite of the technology used.

One such leak reportedly happened in the South Korean cryptocurrency market. An operator of Bithumb, BTC, was reportedly fined for leaking the data of its users. They allegedly stored the data without encrypting it, and according to reports, their anti-virus software was not updated as well. Due to this loophole, perhaps, the confidential information of the users on this exchange was hacked.

The Korea Communications Commission fined the operator. The fine imposed was reportedly a total of 60 million won on BTC, that is, $54,970. The operator allegedly had not complied with the required data protection measures. This is the first time such an action has been taken. KCC stated that the operator was fined as they made the data “vulnerable to hacks”, “causing leaks of personal data and financial damage.”

With the increasing popularity of cryptocurrency and the soaring Bitcoin prices, we need more regulation, data protection policies and technologies, and harsher penalties.