Copy link
Increase text size
Decrease text size
Link copied

South Korean watchdog seeks to bring cryptocurrency exchanges under direct regulation

Wed, 07 Aug 2019, 11:24 am UTC

The Korea Financial Intelligence Unit (KoFIU) intends to bring cryptocurrency exchanges operating in the country directly under the regulatory system, Business Korea reported.

KoFIU is the primary executive agency responsible for implementing an effective Anti-Money Laundering and Combating the Financing of Terrorism (AML/CFT) regime in Korea. It operates under the Financial Services Commission (FSC).

Currently, the agency regulates cryptocurrency exchanges in an indirect manner through administrative guidance to banks. It has now revealed its plan to directly regulate cryptocurrency exchanges.

In line with the recommendation of the Financial Action Task Force (FATF), the government plans to introduce a “cryptocurrency exchange licensing system” in order to increase the transparency of cryptocurrency transactions, an FIU official said on Tuesday.

Speaking at a public hearing on the enactment of a law to enhance the transparency of crypto transaction, Lee Tae-hoon, head of administration and planning at the FIU, said:

“If an amendment to the Act on Reporting and Use of Certain Financial Transaction Information, which reflects the FATF’s international standards for cryptocurrencies, passes the National Assembly, it will be possible to prevent money laundering through cryptocurrencies.

“If the amendment is approved by lawmakers, we can raise the effectiveness of regulations by shifting from the current indirect regulation through commercial banks to direct regulation.”

In January 2018, the FSC banned cryptocurrency trading using anonymous accounts in the country. The new rule requires users to have a bank account under their real name at the same bank with cryptocurrency exchanges for making cryptocurrency transactions.

TokenPost | [email protected]

<Copyright © TokenPost. All Rights Reserved. >

To leave a comment, please sign in.
More
  • Bitcoin (BTC) $6,369.91 (-1.39%)
  • Ethereum (ETH) $133.09 (+0.32%)
  • XRP (XRP) $0.224600 (+0.84%)
  • Bitcoin Cash (BCH) $217.92 (-1.10%)
  • Bitcoin SV (BSV) $163.92 (-1.43%)
  • Bitcoin (BTC) $6,369.91 (-1.39%)
Feb 21, 2020 (Friday)
12:01
Paxos launches blockchain-based securities settlement solution with Credit Suisse and Instinet
12:00
Brazil to launch new payment system in response to cryptocurrencies
11:59
Digital currency exchange Coinbase Pro lists Kyber Network token
11:57
Norwegian Air to soon start accepting crypto payments
10:21
Swedish central bank begins CBDC pilot with Accenture
09:51
Italian soccer team Juventus launches ethereum-based digital collectibles with Sorare
Feb 20, 2020 (Thursday)
14:16
Telecom companies complete cross-carrier mobile payments using blockchain
11:53
National Stock Exchange of Australia to develop DLT-based digital securities trading platform
11:00
South Korean ICO project discontinued, to return $7.5M to token holders
10:36
Samsung maintains crypto support in soon-to-launch Galaxy S20
09:41
BIS appoints Innovation Hub heads to lead Singapore and Switzerland
09:15
Coinbase becomes first crypto company to receive Visa principal membership
08:59
Dubai Economy and six banks launch KYC Blockchain Consortium
08:26
Crypto Technicals: ETH/USD under downside pressure after 'Bearish Engulfing' pattern
07:12
Tim Draper buys $1M worth of Aragon Tokens to create digital courts for DAOs
06:13
Renewable energy firm Acciona commits to take CBI’s blockchain-based carbon credits trading platform global
05:02
Crypto Technicals: BTC/USD trades below 21-EMA, break below 4H 200 MA (9386) to trigger further downside
04:56
Crypto exchange Coinfloor to launch a simplified bitcoin buying service
04:35
Indonesia’s customs department joins IBM- Maersk blockchain shipping platform “TradeLens”
Feb 19, 2020 (Wednesday)
12:46
Crypto custodian BitGo acquires digital securities startup Harbor
Subscribe to the TokenPost newsletter!
Don't show me this again today.
Back to top
Copyright ⓒ TokenPost. All Rights Reserved.
PUBLISHsoft