Crypto exchange Upbit could face possible sanctions in South Korea for failing to comply with the country’s anti-money laundering and know-your-customer (KYC) obligations, according to a report by local news site Maeil.

Upbit, which is one of South Korea’s largest exchanges, was reportedly notified by the Financial Information Analysis Institute (FIU) of the Financial Services Commission last week about the sanctions. If the decision is upheld, Upbit could be barred from new customer-related business for up to six months.

The decision would “essentially restrict new customers from transferring virtual assets off-exchange for a certain period of time,” Upbit told Maeil.

CoinDesk contacted Upbit and the Financial Services Commission for comment.

The exchange will send a statement regarding the sanctions to Upbit to the FIU no later than the 20th, and the FIU will then review the sanctions.

South Korean authorities vowed to take a closer look at exchanges in 2022 following the collapse of stablecoin issuer Terra, and urged regulators to closely monitor them.