South Korean regulators plan to freeze accounts involved in manipulation during the investigation phase

The South Korean financial regulatory authorities are evaluating the introduction of a "preventive freeze" mechanism, allowing for the temporary freezing of relevant accounts before suspected price manipulation in cryptocurrency trading has been cashed out.

The Financial Services Commission (FSC) is studying a trading suspension system, aiming to align cryptocurrency enforcement standards with those of the stock market to address the current issues of needing to apply for court orders and the delays in handling. This discussion comes as South Korea advances to the second phase of cryptocurrency legislation, which may focus on stablecoins and market manipulation. If implemented, regulation will shift from post-event accountability to real-time intervention, increasing scrutiny on high-frequency, automated trading and short-term abnormal fluctuations, significantly tightening the market enforcement environment.