Leading crypto exchanges will join forces to prevent another collapse similar to the fall of the Luna token

South Korea’s largest cryptocurrency exchanges announced the creation of an advisory body at a meeting on virtual assets to prevent a repeat of the UST/Luna story. This was reported today by YNA journalists.

Upbit, Bithumb, Coinone, Korbit, and Gopax have signed an agreement to create a single body that will monitor the market, support transactions, and control cryptocurrencies legally. They plan to launch a virtual currency control system in September, which is expected to help detect crises faster and respond to them within 24 hours.

«If we become aware of the risks of a cryptocurrency crash in the market, for example, due to rapid fluctuations in turnover or price, thanks to the Advisory Body and the control system, we will be able to warn investors about possible problems,» — they said at the meeting.

In addition, the advisory body will check the possibility of misuse of virtual currency for money laundering and the existence of a special relationship between the issuing fund and the exchange, which is hoped to help prevent further problems.