According to DAXA’s statement, Orbs and Temco projects are accused of violating the Virtual Asset User Protection Act in South Korea, and it is stated that these violations may have a negative impact on the values ​​of the tokens.

Bithumb, one of South Korea’s largest crypto exchanges, announced a significant status change for Orbs and Temco tokens to its users on November 6, 2024. Based on new information provided by DAXA, Bithumb has included these two digital assets in the “assets with transaction alert” category.

Immediately after this change, Bithumb published a statement to its users and announced that transaction support for Orbs and Temco tokens would be discontinued. In line with this decision, deposits for these tokens will be suspended.

Additionally, Bithumb is expected to issue a statement regarding the complete removal of transaction support for the tokens in the coming days, giving its users a time frame to terminate transactions. The removal of transaction support is expected to take place between 18-22 November.

Bithumb urged its users to be careful when investing. In the announcement, it was stated that DAXA may terminate transaction support for these assets by making a joint decision on assets designated as “transaction alert” for investor protection purposes.

In this context, Bithumb users are also advised to take special care when investing in relevant virtual assets. In the statement, it was stated that the Orbs project provides incomplete or incorrect information on some important issues that may affect its value in the market.

While it is stated that Orbs carries uncertainty throughout the entire process of its business activities, the fact that a community where investors can communicate stands out as an effective factor in including the token within the scope of the transaction warning.

Regarding the Temco platform, it is claimed that some information about the project was “arbitrarily changed” without prior notice to the public. It is thought that such changes may negatively affect the value of the digital asset, and it is claimed that Temco is not being transparent in this process.

With these statements, Bithumb informs its users about possible risks and advises them to be careful when investing in virtual assets.

Recently, serious regulations have been put into effect in the South Korean crypto market. In particular, the Virtual Asset User Protection Act, which came into force throughout 2024, created a significant change in the industry and led many crypto exchanges to terminate their activities.

According to a report published on October 24, nearly a dozen crypto exchanges in South Korea were forced to close due to their failure to comply with this law. These closures directly affected 34,000 cryptocurrency holders in the country.

According to the report, approximately 17.8 billion won (approximately $12.8 million) worth of assets were unavailable to users on closed exchanges. While 1.41 billion won of this amount is calculated as cash assets, the remaining amount consists of cryptocurrencies.

These developments once again reveal the importance of projects operating in the crypto asset market to comply with legal regulations.

The termination of trading support for Orbs and Temco tokens is a major impact for market participants and is seen as a testament to the importance the South Korean government attaches to crypto regulations.

Investor protection measures are considered as a very critical step for the sector to achieve a more transparent, reliable and regulated structure in the future.