South Korean regulator to probe crypto price manipulation

South Korea's Financial Supervisory Service (FSS) will conduct a planned investigation into high-risk activities that disrupt the virtual asset market, including various forms of price manipulation. The FSS announced the initiative on Feb. 9 as part of its annual work plan, Yonhap News reported. The probe will target several manipulation tactics. These include schemes by "large whales" who use massive funds to influence prices, the "caging" method of artificially adjusting the price of an asset whose deposits and withdrawals are suspended on a particular exchange, and the "racehorse" technique of rapidly driving up prices by accumulating large volumes at a specific time. Additionally, the FSS plans to establish a supervisory system to prevent IT risks in the financial sector. Measures will include introducing punitive fines for IT incidents, strengthening the security responsibilities of CEOs and Chief Information Security Officers (CISOs), and promoting the adoption of information security disclosures.