Bank of Korea probes financial firms’ exposure to crypto risks
The central bank is surveying 31 financial institutions on how a major exchange shutdown, prolonged crypto downturn or losses at another firm could affect their operations.
The central bank is surveying 31 financial institutions on how a major exchange shutdown, prolonged crypto downturn or losses at another firm could affect their operations.
The Bank of Korea has reportedly launched its first survey of banks and brokerages on cryptocurrency-related risks, asking how they would be affected by a major exchange hack, a market crash or heavy losses at another financial institution.
The central bank began surveying 18 banks and 13 brokerages on Oct. 23 as part of its first reported review of financial institutions’ participation in the virtual asset market, according to The Herald Business and Yonhap, citing financial industry sources.
The survey began before last week’s $6.3 billion Binance hack, but the incident highlights the type of risk the central bank is examining. US authorities have attributed the attack to North Korean hackers.