South Korean regulators have ordered cryptocurrency exchanges to strengthen withdrawal reviews, resulting in near-universal delays in withdrawals.

CoinFeed reported on April 8th that, according to CoinDesk, South Korean financial regulators have mandated a unified withdrawal delay mechanism for all domestic cryptocurrency exchanges to curb voice phishing scams that exploit "instant withdrawals." The new regulations remove the discretionary power of individual exchanges to set "exceptions" for fast withdrawals, instead standardizing the review of eligibility based on account history, trading patterns, and behavioral changes. Regulators anticipate that less than 1% of users will qualify for "instant withdrawals." Exchanges are also required to strengthen identity verification and enhance fund flow monitoring, marking a shift from industry self-regulation to a nationwide unified standard for fraud prevention.