Bithumb, South Korea’s second-largest crypto change, is closing its USDT market and order-book-sharing with Australia’s Stellar Change after solely two months, amid regulators’ scrutiny of anti-money laundering controls.
The shutdown took impact at 11:00 AM on Friday, impacting 10 cryptocurrencies traded within the USDT market.
Regulatory Investigation Triggers Closure
The Korea Monetary Intelligence Unit (FIU) started an on-site investigation at Bithumb on October 1, 2025. The probe targeted on whether or not the change’s order-book sharing would possibly create loopholes in anti-money laundering protocols. The FIU examined weaknesses in Know Your Buyer procedures and Journey Rule compliance, significantly when collaborating with abroad exchanges that don’t meet South Korea’s strict requirements.
Sponsored
Sponsored
The Journey Rule is a worldwide requirement that forces Digital Asset Service Suppliers to gather and share sender and recipient particulars for sure crypto transactions. South Korean regulators feared that Bithumb’s partnership with Stellar Change might enable customers to avoid these guidelines via cross-border trades.
Trade sources say this investigation lasted for much longer than ordinary. The prolonged overview intensified operational stress on Bithumb.
Brief-Lived Partnership With Stellar Change
On September 22, 2025, Bithumb introduced its USDT market beta, collaborating with Stellar Change to spice up liquidity by sharing order books. This association pooled buying and selling quantity, giving customers deeper market entry.
However considerations arose shortly. Through the partnership, it was revealed that BingX workers labored at Bithumb’s Seoul headquarters, elevating questions on oversight and regulatory scope. Stellar Change is a subsidiary of BingX, a Singapore-based platform.
South Korea enforces the Act on the Safety of Digital Asset Customers, with strict guidelines from the Monetary Providers Fee on asset administration, buyer safety, and transaction monitoring. Authorities are involved that cross-border partnerships with overseas companies on Korean soil might pose complicated compliance challenges, significantly in anti-money laundering and KYC enforcement.
Affect on Customers and Trade Outlook
All excellent USDT market orders on Bithumb might be canceled at closure, and API providers associated to the market might be suspended. The ten affected cryptocurrencies stay tradable in Korean Received. Deposit and withdrawal capabilities are nonetheless out there for customers.
In its official discover, Bithumb stated the closure aimed to supply a extra steady, superior buying and selling atmosphere through system enhancements. The change said that updates about any reopening can be offered, with out giving a timeline.
Nonetheless, observers view the shutdown as a direct response to regulatory calls for moderately than as voluntary upgrades. Stories point out that FIU considerations over anti-money laundering controls drove the transfer.
This case reveals the hurdles crypto exchanges face when increasing providers internationally in nations with strict oversight. South Korea prioritizes investor safety and crime prevention, requiring strict compliance.
