REGULATIONS

South Korean new set of regulations

According to a press release issued this week, South Korea’s chief financial regulator issued a series of revised anti-money laundering guidelines (AML) for virtual currencies.

The press release notes that the Financial Services Commission (FSC) conducted inspections for three national banks – Nonghyup, Kookmin and Hana Bank, the results of which caused the need to update the AML protocols.

The new guidelines note that the crypto-exchange markets should conduct proper customer identification (CDD) and enhanced customer identification (EDD) to ensure that the trading objectives and sources of user financing are legitimate.

If a business refuses or can not provide information for client verification, the guidelines state that any transactions of that entity must be rejected or terminated.

According to the revised guidelines, cryptoexchanges are also responsible for this. They must control that foreigners do not use local crypto-exchanges, criminals do not use personal accounts of other people for money laundering and that there are no suspicious transactions and payment processing.

In the official statement of Jeong have reported that the government has created the specialized working group whose task will be processing the offer of the Ministry of Justice supporting a total ban of cryptocurrency trade, and creation of regulatory requirements which will regulate the relations in the market of digital assets.

Large South Korean trading platforms, including Bithumb and Korbit, were positive to new offers of the government. The representative of Bithumb in a conversation with Yonhap News has noted that the last legislative initiatives will allow to make the market of cryptocurrencies more transparent, honest and stable.

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blockchain, ICO, bitcoin, ethereum, mining

REGULATIONS


South Korean new set of regulations

Published by blockchain, ICO, bitcoin, ethereum, mining