South Korea’s Financial Supervisory Service has opened sanction proceedings against Dunamu, Upbit’s parent, nearly eight months after a ~$30M hack drained Solana-based assets from the exchange in late 2025.

The FSS’s inspection report is only the first formal step — final penalties still run through its Sanctions Review Committee, the SFC and the FSC. Yet current Korean crypto law carries no direct sanctions for hacks or IT failures, leaving the outcome uncertain.

The ~54-minute November breach, pinned by some on North Korea’s Lazarus Group, saw Dunamu repay $26M to users from its own reserves. The case also shadows its pending Naver Financial merger, now delayed to December 2026.