South Korea plans to allow cryptocurrency exchanges to suspend deposits and withdrawals in the event of suspected hacking. The South Korean Financial Services Commission (FSC) plans to allow cryptocurrency exchanges to suspend deposits and withdrawals when a hacking attack is suspected, without waiting for confirmation. The FSC will issue a no-objection letter authorizing exchanges to take this preventative suspension under specific conditions. Currently, exchanges cannot prevent user withdrawals without a legitimate reason; restrictions can only be imposed after a hacking incident is confirmed. The FSC also requires exchanges to establish 24/7 monitoring and incident response mechanisms, increase the proportion of cold wallets held, and strengthen insurance and reserves. Exchanges unable to implement 24/7 monitoring can only process deposits and withdrawals during staffed hours and must notify users in advance.