University Students Face Legal Ramifications for Exploiting 'Kimchi Premium' in Cryptocurrency Exchange
CryptoNewsTerminal Staff06 Sep, 2024
University Students Face Legal Ramifications for Exploiting 'Kimchi Premium' in Cryptocurrency Exchange
Illegal Currency Exchange Using 'Kimchi Premium' Lands University Students in Court In a recent incident, a university student has been convicted for engaging in illegal foreign exchange transactions worth 9.8 billion KRW, utilizing the 'Kimchi Premium.' This premium refers to the higher price of virtual assets in the Korean market compared to overseas markets. Chuncheon District Court Judge Kim Taek-seong imposed a suspended prison sentence of 1 year with a fine of 100 million KRW for Defendant A (41) and a suspended sentence of 8 months with a 100 million KRW fine for Defendant B (34). Both individuals were charged with violating the Foreign Exchange Transactions Act. Authorities emphasized the importance of complying with currency exchange regulations to prevent illegal activities and ensure the stability of the financial system. The 'Kimchi Premium' has drawn attention due to the significant price discrepancy between domestic and international virtual asset markets.
