Bithumb Disputes FIU Penalties Over 45,772 Transfers in First Hearing on October 22

According to Digital Asset, Bithumb held its first administrative court hearing on October 22 against South Korea's Financial Intelligence Unit (FIU). FIU alleged the exchange processed 45,772 transfers to 18 undeclared crypto operators between August 28, 2022 and April 3, 2025, leading to a six-month partial suspension restricting new customers from withdrawing crypto assets.

Bithumb defended its compliance, stating transfers above 1 million won comply with travel rule requirements and undeclared operators are excluded from approved exchange lists. For transfers below 1 million won, the platform argued no legal mandate existed at the time to collect recipient exchange information. Bithumb also noted that only approximately 2% of addresses confirmed via Chainalysis API were later identified as FIU-designated undeclared operators, and blocking all would disrupt legitimate transactions.