South Korea Thinks Real-Name System is Working — Stepping Crypto Tracking Up
South Korea Thinks Real-Name System is Working — Stepping Up Crypto Tracking
In the time of the writing, the price of BTC on Bitfinex is 5,875 while its own won price Bithumb equates to $5,947.
According to the FSC’s statement issued this week, Kim advised other planet regulators who “The so called kimchi superior stood at 0.6% on June 19,” Yonhap explained. In comparison, he noted that “On Jan. 7, a speculative dip in bitcoin in South Korea motivated investors to cover premiums of 46.7 percent compared with international rates. ” The vice chairman was quoted by the news socket:
In a recent P2P loan inspection meeting together with the Ministry of Justice and the National Police Agency, Kim pointed out the the real-name system “implemented only to trades that get virtual accounts at banks,” Hankook Ilbo reported. He added that the majority of crypto exchanges are still utilizing corporate accounts.
Currently, there are little price openings in cryptocurrency between local and worldwide markets.
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The frenzied buying of bitcoin and other cryptocurrencies seen in January this year in South Korea was fizzling because the government prohibited anonymous trading of cryptocurrencies.
Kim Yong-beom, the vice chairman of South Korea’s leading financial regulator, the Financial Services Commission (FSC), attended a meeting of the Financial Stability Board (FSB) in Basel, Switzerland, earlier this past week.
Also read: Yahoo! Japan Confirms Entrance Into the Crypto Space
Subsequently the FSC said Wednesday “it will measure monitoring of cash transfers between foreign and local cryptocurrency trades,” the Korea Times reported, adding:
However, as its debut, the system has frequently been criticised because only a few banks made a decision to offer to convert existing “virtual reality ” crypto trading accounts to real-name ones. The conversion rate is low and the banks which do offer this service would rather only provide it to the country’s biggest crypto exchanges: Bithumb, Upbit, Coinone, and Korbit. Other exchanges continue to utilize corporate accounts, and also the regulators say are more likely to money laundering.
The South Korean government introduced the real-name system for cryptocurrency accounts in the end of January, efficiently “forbidding using anonymous bank account in trades to stop virtual coins from being used for money laundering and other illegal activities,” the publication clarified. “The real-name trading system was also part of this government’s latest measures to curb speculative investment to virtual money. ”
But, the FSC said:
The financial regulator disclosed it plans “to closely keep tabs bank account employed by cryptocurrency trades for parking their expenses. ”
South Korea’s leading financial regulator recently told 23 other countries’ regulators the kimchi superior has fizzled because the anonymous trading of cryptocurrencies has been banned in the country. Now, the government is introducing a new rule to stop local crypto exchanges from buying cryptocurrencies at foreign exchange.
The FSB is a worldwide body which monitors and makes recommendations about the global financial system.
Pictures courtesy of Shutterstock,” Yonhap, and the Korean government.
The new principle, which aims to stop local cryptocurrency deals buying virtual coins in foreign exchange to launder cash, will come into force on July 10 for a single year.