South Korea's Financial Services Commission (FSC) has proposed to criminalize fraudulent behavior in the cryptocurrency market, including price manipulation and insider trading, CoinDesk has reported.
The FSC has made the corresponding proposal to the country's parliament. The document will be used to draft the crypto legislation that will go through the parliament.
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The FSC recommendations provide for a minimum of one year imprisonment and a fine of 3 to 5 times the illegal gain. If the amount of such gains exceeds 5 billion won (approximately $4.2 million), the prison sentence could increase to five years.
The regulator has previously proposed to introduce taxes on some types of non-fungible tokens (NFTs).