New South Korean law allows recovery of crypto lost to scams

Amid a rise in voice phishing scams involving cryptocurrencies, the South Korean government will require cryptocurrency exchanges to adopt the same level of fraud prevention measures as traditional financial institutions, Edaily reported. South Korea’s Financial Services Commission announced today that an amendment to the Telecommunications Fraud Damage Refund Act, aimed at strengthening the response to voice phishing crimes using virtual assets, has passed a plenary session of the National Assembly. The amendment expands the definition of recoverable assets from just money to include virtual assets, strengthening the relief process for victims. Cryptocurrency exchanges will also be required to join the 'ASAP' (Voice Phishing Information Sharing and Analysis AI Platform) to share information on suspicious transactions, strengthening the cooperative framework between institutions.