A report confirming that bitcoin exchange UPbit, now the biggest crypto exchange in South Korea, is storing 100% of its bitcoin and cryptocurrency balance sheet has sent a wave of relief over worried investors after the exchange was raided by local authorities in May.
At the time there were concerns UPbit was swing its balance sheet and amplifying its trading volumes.
As part of the raid South Korea's financial watchdog, the Financial Services Commission (FSC), along with the Korea Financial Intelligence Unit (KFIU), seized hardware and documents from UPbit to evaluate claims from unknown sources that the exchange was insolvent.
Yoojin, one of South Korea's largest accounting firms, was hired to evaluate UPbit's accounts and found it to have the required funds, but questions remained over the legitimacy of the findings as the Korean government did not release a statement or additional information on the case.
Now, Dunamoo, a subsidiary company of Korean internet giant Kakao, has released a report citing the official audit results — something that goes a long way to verifying Yoojin's findings — and somewhat laying to rest fears of another South Korean crypto exchange collapse.