Dunamu Joins Bid for Korean Police Seized Crypto Custody Project Alongside BDACS, DSRV

Dunamu, the operator of Upbit, South Korea's largest cryptocurrency exchange, has submitted a proposal for a National Police Agency project to store and manage seized virtual assets.

According to industry officials on June 24, Dunamu recently filed a proposal for the agency's seized virtual asset custody and management project. Other major local custodians, including DSRV, BDACS, Korea Digital Asset (KODA) and Korea Digital Asset Custody (KDAC), also submitted proposals.

Dunamu's bid appears aimed at expanding its business into the public sector. Industry officials say the police agency's project could become a guideline for the public-sector virtual asset custody market.

The National Police Agency launched the project to improve the safekeeping and management of seized virtual assets. Its request for proposals says all seized assets must be stored in cold wallets disconnected from the internet. It also requires separate wallet addresses for each police agency and a 24-hour response system.

The agency also barred the use of seized virtual assets for yield-generating activities such as staking. The selected operator must fully compensate for any asset losses.

The National Police Agency held three rounds of bidding for the project last year, but all ended without a winner.