The South Korean Customs Service (KCS) has dismantled a criminal network involved in laundering nearly 150 billion won ($101.7 million) through cryptocurrency. Three Chinese nationals have been detained for violating the foreign exchange transactions act. The scheme, active from September 2021 to June 2025, involved exploiting both domestic and international crypto accounts to launder funds. The criminals allegedly used platforms like WeChat Pay and Alipay to receive deposits, purchasing virtual assets from multiple countries to avoid detection by financial authorities. These assets were then transferred to digital wallets in South Korea and converted into Korean won. The funds were disguised as legitimate expenses, including cosmetic surgery fees for foreign nationals. In response to rising crypto-related crimes, South Korea is tightening its oversight of cryptocurrency transactions, particularly those below 1 million won, to close identity verification loopholes. In 2025, the country flagged a record 36,684 suspicious crypto transactions, highlighting its commitment to enhancing security in the burgeoning crypto industry.