The Korea Fair Trade Commission has begun an on-site investigation into Bithumb, a virtual asset exchange, on the 4th, according to reports. Bithumb is under suspicion of violating the Act on Fair Labeling and Advertising.
The Korea Fair Trade Commission (FTC) sent a Researcher to Bithumb's headquarters in Gangnam-gu, Seoul, that day to secure materials related to promotions Bithumb has carried out. In particular, the Korea Fair Trade Commission (FTC) is said to be examining the objectivity of the phrase Bithumb used last year, "No. 1 in liquidity among domestic virtual asset exchanges." The current Act on Fair Labeling and Advertising prohibits "false or exaggerated labeling and advertising" that deceives consumers or is likely to mislead them about a service.
The Korea Fair Trade Commission (FTC) is also looking into whether Bithumb unfairly enticed customers. Last year, Bithumb ran a promotion offering 100,000 won in support funds to new customers who linked via the company's API (a method of accessing the exchange system through an external program). When participation in the event surged, Bithumb changed the conditions for paying the support funds.