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Upbit proved to be Solvent According to a Recent Audit
Editorial Team

A recent audit on South Korea’s largest cryptocurrency exchange Upbit has confirmed that all of its digital currency balance sheets have not been subjected to any manipulation and that the platform has the total amount of funds it claims.

The investigation started in May after severe concerns that Upbit was inflating its trading volumes while manipulating the balance sheets in order to match. According to a publication from bitcoinnews.com, South Korea’s Financial Services Commission and Korea Financial Intelligence Unit selected documents and hardware from exchange’s headquarters to investigate the anonymous tip-offs claiming its insolvency.

One of the country’s largest accounting firms, Yoojin, in its recent evaluation declared that the cryptocurrency exchange was operating with all of the declared assets, with the results of the audit to have be published by the Korean internet provider Kakao’s subsidiary Dunamoo. This was a confirmation for many local investors of the platform. However, the lack of an official response from the local government led to critics regarding the legitimacy of the audit.

According to the publication, the cryptographic screening shows Upbit ha around 103% of the money based on the total needed to be paid to customers, with the aggregate funds of the exchange reaching 127% of the total that it holds for customers.

The president of Dunammo Lee Seok-woo attested the authority of the results, declaring that the exchange has enough money to compensate all its customers whenever they wish to withdraw their funds. According to him, Upbit would comply with regular future audits to prove that its financial conditions are fully legally compliant.

It is a fact that the recent South Korean exchange Bithumb’s hack created mistrust to the platform, and at the same time, pushed Upbit to the number one position. However, the Shinhan Bank-backed platform Gopax is expected to surpass the trading volume of both exchanges shortly.

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