PANews reported on April 11 that, according to South Korean media, South Korean financial regulators are considering whether to include a clause on "confiscation of principal in insider trading cases involving virtual assets" in the second phase of legislation expected to be released in the second half of this year. Under the current Virtual Asset User Protection Act, the government only has the right to confiscate investment principal in cases of fraudulent trading or market manipulation. There is no legal basis to confiscate investment principal in cases of insider trading. Therefore, the Financial Supervisory Service recently submitted this issue to the Financial Services Commission, which is currently reviewing whether to include it in the second phase of the legislation. In the stock market, currently all improper trading offenses can result in the confiscation of investment principal.