Hyperithm accused of launching new product without regulatory filing

South Korean Virtual Asset Service Provider (VASP) Hyperithm allegedly launched a new DeFi financial product without submitting a required risk assessment to regulators, NewsWay reported. On Dec. 17, Hyperithm launched a yield-bearing product for Bitcoin and Ethereum through Midas, an offshore Real World Asset (RWA) platform. Under South Korea's Act on Reporting and Using Specified Financial Transaction Information and the Virtual Asset User Protection Act, VASPs must provide authorities with a risk assessment before launching new services, including those related to NFTs and DeFi. Hyperithm reportedly failed to notify regulators of its launch plans or submit the required assessment.