Korbit, a cryptocurrency exchange, announced it has become the first in the industry to successfully pass the Type 2 phase of the SOC 1 (System and Organization Controls) certification for internal control over financial reporting, according to global standards. This certification is based on auditing standards set by the American Institute of Certified Public Accountants (AICPA) and the International Auditing and Assurance Standards Board (IAASB), where an independent auditor evaluates and verifies the appropriateness of a service provider’s internal controls.
The certification is divided into SOC 1, SOC 2, and SOC 3, with each focusing on different aspects of service provision and internal control. Each certification comprises two phases: Type 1, which expresses an opinion on the design of internal controls at a specific point in time, and Type 2, which evaluates the effectiveness of these controls over a designated period. Korbit conducted the Type 2 evaluation process in collaboration with Samduk Accounting Firm, one of the top five accounting firms in the country.
Having already published a Type 1 report in January of the previous year, which contained opinions on the design of internal controls as of December 31, 2022, Korbit has now issued a Type 2 report, acknowledging the effective operation of its internal controls throughout the past year. This certification enables corporations using Korbit’s exchange services to rely on the SOC 1 certification report for their financial audits without needing additional verification procedures.
Korbit’s achievement places it alongside major international cryptocurrency exchanges like Coinbase and Gemini, which have already completed both phases of the SOC 1 certification. “The final acquisition of the SOC 1 certification signifies Korbit’s alignment with leading global cryptocurrency exchanges,” said Oh Se-jin, CEO of Korbit. “Especially after the approval of the Bitcoin spot ETF in the US, there has been growing demand for allowing corporate investments in digital assets in our country. Korbit is committed to being a trustworthy exchange for corporations,” he added.
