South Korean Court Halts FIU’s Business Suspension Penalty Against Upbit

In Brief:

The Seoul Administrative Court has suspended the FIU’s three-month partial business ban on Upbit.

New users on Upbit can continue to deposit and withdraw crypto assets.

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South Korea’s Seoul Administrative Court has issued a temporary suspension of the penalty imposed by the Financial Intelligence Unit (FIU) against Dunamu, the operator of leading crypto exchange Upbit. The ruling allows Upbit to maintain key services for new users until 30 days after a final verdict on the main case is delivered.

The original penalty, handed down by the FIU earlier this year, included a three-month business suspension and restrictions on onboarding new customers for crypto deposits and withdrawals. The court’s decision provides temporary relief for Upbit, one of South Korea’s largest digital asset platforms.

Upbit had previously stated the sanctions were based on findings during an on-site FIU inspection in 2024. With the suspension in place, user access remains uninterrupted as legal proceedings continue.

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