The upgraded platform now includes real-time abuse detection, a dynamic wallet-blocking system, and wallet profiling tools. It was also audited by a number of well known security firms. Meanwhile, Binance is deepening its global outreach through a partnership with Kyrgyzstan’s government. The deal brings Binance Pay to the country and its main goal is to boost blockchain education, building on Kyrgyzstan’s interest in crypto mining and a national CBDC initiative. Former CEO CZ is also advising the country on crypto regulation. KuCoin is eyeing a return to South Korea after being blocked for non-compliance. The exchange’s leadership shared that it is fully committed to regulatory alignment in major markets. They also raised some concerns about inconsistent licensing standards across the EU despite the MiCA framework. Overall, crypto exchanges are making major strategic moves. OKX Revives DEX Aggregator OKX relaunched its decentralized exchange (DEX) aggregator, OKX Web3, with a series of new security upgrades after temporarily suspending the service in March due to misuse by the North Korean hacking group Lazarus. According to a May 4 statement by OKX founder and CEO Star Xu, the revamped aggregator now features a real-time abuse detection and blocking system that is specifically aimed at identifying and stopping suspicious on-chain activity. OKX Web3 operates as a browser and search engine for blockchain. It aggregates trading data from various decentralized exchanges and market makers to assist users in executing trades more efficiently. The upgraded platform also includes a dynamic database that automatically blocks suspect wallet addresses and issues proactive warnings for risky transactions. To enhance trust, OKX explained that its infrastructure was vetted by prominent blockchain security firms including CertiK, Hacken, and SlowMist, and was further stress-tested through a bug bounty program. Among the newly introduced features is a wallet analysis tool that can classify wallet holders as potential whales or snipers, providing users with much deeper on-chain insights. (Source: OKX ) OKX initially paused the DEX aggregator on March 17 to prevent further exploitation after the Lazarus Group’s misuse of DeFi services. At the time, the company promised to implement systems that could track and block hacker-linked wallet addresses. This move came shortly after Bloomberg reported that EU regulators were investigating the role of OKX’s DEX aggregator and wallet services in the laundering of funds from the $1.4 billion Bybit hack in February. OKX refuted the report, and clarified that its self-custody wallet swap feature merely acts as an aggregator and does not control user assets. The Lazarus Group’s hacking campaign also affected other platforms. Crypto exchange eXch shut down its operations on May 1 after initially denying , then later admitting, that it processed funds from the Bybit hack. Kyrgyzstan Taps Binance for Blockchain Push Other crypto exchanges are also taking steps to expand their services. Binance recently entered into a formal agreement with Kyrgyzstan’s National Agency for Investments to roll out crypto payment infrastructure and support blockchain education initiatives in the country. The memorandum of understanding (MoU) was signed during the first meeting of the Council for the Development of Digital Assets, which was attended by Kyrgyz President Sadyr Japarov. As part of the initiative, Binance will launch Binance Pay in Kyrgyzstan, which will make it possible for both residents and visitors to conduct transactions using cryptocurrencies. The collaboration also places a lot of emphasis on education, and the Binance Academy is set to partner with government agencies and financial institutions to create blockchain-focused training and development programs. Kyrylo Khomiakov, Binance’s regional head for Central and Eastern Europe, is very excited about the partnership, and believes in its potential to foster digital asset development in the region. This move was made after former Binance CEO Changpeng “CZ” Zhao’s announcement in early April that he would advise Kyrgyzstan on crypto regulation. Meanwhile, Kyrgyzstan also made progress on its own central bank digital currency (CBDC) ambitions. On April 18, President Japarov signed a law granting legal tender status to a pilot project for a CBDC known as the “digital som.” Kyrgyzstan’s increasing interest in digital assets is supported by its history in cryptocurrency mining, largely due to its rich hydroelectric power resources. The International Energy Agency shared that while more than 30% of Kyrgyzstan’s current energy supply comes from hydroelectric plants, only a fraction of the country’s potential hydropower has actually been utilized, making it a very attractive location for crypto mining operations. Binance’s agreement with Kyrgyzstan adds to a growing list of government collaborations. The exchange has been increasingly working with international regulators and policymakers to help shape crypto frameworks. In an April interview, Binance CEO Richard Teng revealed that multiple governments and sovereign wealth funds approached the exchange for assistance in building strategic crypto reserves and regulatory guidance. Earlier in the month, former CEO CZ was also appointed as an adviser to Pakistan’s newly formed Crypto Council. KuCoin Plans South Korea Comeback KuCoin is considering a return to the South Korean market after being blocked by the country’s regulators earlier this year. On March 21, South Korean authorities directed Google Play to restrict access to crypto exchanges not registered under local compliance requirements. This was followed by a similar order from the Financial Services Commission on April 11 targeting the Apple Store. KuCoin was among the exchanges affected, which rendered its platform inaccessible to South Korean users. However, the exchange has not fully withdrawn from the jurisdiction and is exploring options for reentry. In a recent interview , newly appointed KuCoin CEO BC Wong explained that the exchange is prioritizing compliance with major global markets before attempting to resume operations in South Korea. He stated that the company is engaging with regulators and that its strategy places jurisdictions like the United States, the European Union, China, and India at the forefront, followed potentially by Australia. Wong also explained that the regulatory landscape has grown significantly stricter over the past few years, speculating that local authorities might be attempting to clear the field for domestic exchanges by tightening requirements for foreign players. Meanwhile, KuCoin’s EU CEO Oliver Stauber shared some of his concerns about regulatory inconsistencies across Europe despite the introduction of the Markets in Crypto-Assets Regulation (MiCA). While MiCA includes a passporting provision that is designed to allow crypto companies to operate across the EU with a single license, Stauber said that inconsistent interpretations among member states are creating operational hurdles. He said that some regulators claim licenses were incorrectly assessed, which completely undermines the uniformity MiCA was supposed to deliver. Stauber concluded that while MiCA aimed to level the playing field, the presence of non-compliant actors still complicates efforts for fully regulated companies to operate smoothly across the region.
