Koo Yun-cheol, the deputy prime minister for the economy, said on the 13th that the government will conduct a comprehensive review of internal controls at exchanges to prevent the decline in trust in virtual assets caused by the Bithumb incident from spilling over into market instability.
The government held a market situation review meeting attended by Rhee Chang-yong, governor of the Bank of Korea, Lee Eog-weon, chairman of the Financial Services Commission (FSC), and Lee Chan-jin, governor of the Financial Supervisory Service, to assess financial market trends and response directions. They said volatility is rising even amid the recent stock price uptrend, and identified as risk factors the slight increase in Treasury bond yields due to Japan's interest rate hikes and supply-demand pressures in the bond market.
Deputy Prime Minister Koo said, "Although volatility in virtual asset prices is increasing, the possibility of a direct spillover to the financial market is limited," while adding, "We will strengthen institutional improvements and market oversight."
The government will strengthen monitoring of the overall bond market, including Treasury bonds, and check supply-demand conditions through a consultative body of bond-issuing institutions. If necessary, it also plans joint responses by relevant agencies.
Deputy Prime Minister Koo noted that external risks such as major countries' monetary policy directions and U.S. tariff policies persist, and asked relevant agencies to closely monitor market conditions even during the Lunar New Year holidays.