South Korean crypto exchanges, including Huobi and Upbit, have started to suspend trading of some tokens that regulators have deemed too risky for investors.
According to Arirang, of the 20 cryptocurrency exchanges that are certified by the country's security system, 11 have either stopped trading such tokens altogether or have issued a warning.
For instance, Upbit has delisted Paycoin, Maro, Observer, Solve.Care and Quiztok, while Huobi Korea has stopped allowing trading of its native HT token. Coinbit has stopped allowing trading of eight cryptocurrencies and has added 28 more to its warning list for investors.
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The security certificate is issued by the Korea Internet and Security Agency (KISA) and is required to provide residents of the country with services in the virtual currency field.
The Korea Times has previously reported banks will have to stop offering their services to crypto exchanges that fail to verify their customers' identities or do not send suspicious activity reports.