South Korea will regulate, not to ban cryptocurrency exchanges

South Korea will regulate, not to ban cryptocurrency exchanges

According to reports on Tuesday, South Korea’s plan to adopt reasonable regulations for regulation of cryptocurrency exchanges, not ban them.

“Reasonable requirements”

Based on reports local news Agency Daum.net the Stellar co-founder Joyce Kim confirmed that, contrary to previous beliefs, trade in the country will become illegal.

“The Korean government will regulate cryptocurrency exchanges, but do not forbid them,” Kim wrote on Twitter on Monday evening.

For exchanges will be set 6 reasonable demands on the principle of “know your customer” (KYC), anti money laundering division of Fiat currencies in the accounts of third parties, warning consumers about the auction, transparency of the order book.

Is the ban on futures and ICO

The last section in the history of the regulation of cryptocurrency in Korea, which in recent months has taken an intricate and relatively severe twist, different from the warning last week on the approximation of the ban such as that adopted in China.

At the meeting at the government level on this issue was identified the need to continue “to closely monitor the situation with cryptocurrencies”.

According to officials, “taking into account transactions with virtual currency we are not going to ban the activities of the exchanges, provided certain measures of protection of users.”

For the past week it was reported that trading bitcoin futures will not be legalized in South Korea, and interested parties to abolish PR in response to news from the financial services Commission (FSC).

According to Kim, outside the law will remain not only futures, but also ICO, banned in China and Korea, despite the new guidance for stock exchanges.

However, these institutions are conducting experiments with cryptocurrency trends, will certainly sigh with relief.

One of Korea’s largest lenders, Shinhan Bank said earlier about working to create a bitcoin wallet for customers, making it the first Bank in exploring such opportunities.

Shinhan is also planning to hold information seminars on the futures market, but was forced to cancel them.

Meanwhile, under the new guidance of unauthorized trading activities will result in the imposition of significant fines and even imprisonment for up to five years.

Let's Disqus