Crypto trading will be stopped if the criteria are not met

Crypto trading will be stopped if the criteria are not met

More than 200 types of crypto exchanges in South Korea will be banned next September. Speaking at a meeting of the National Assembly's Political Affairs Committee last week, Eun Sung-soo, head of the country's Financial Services Commission, said:

South Korea last year amended its anti-money laundering and financial reporting laws to include cryptocurrencies. The amendment was introduced by South Korea to curb illegal funding of digital assets.

The government also said the cryptocurrency would be more risky and questionable than other assets. Under the new regulation, crypto exchanges must be registered as virtual asset service providers and meet various other criteria.

It will have an anti-money laundering strategy, partnership with local banks, information management certification, and all the criteria to track the real name of the client.

Eun, the chief executive, said no crypto exchanges had been submitted since the application was opened on March 25 to implement the new rules.

In South Korea, cryptocurrencies now have to be approved by September 24, he said.

With the announcement of the new rules, the crypto industry in South Korea is under pressure. Currently, four major crypto exchanges have partnered with local banks to meet other criteria.

But it is very difficult to find out the real names of the service recipients. In fact, the new law traps a key privacy feature that encourages crypto trading.

The crypto market in South Asia continues to grow. Also, in the last few years, it has been gaining a lot of popularity.