South Korea tightened regulatory inspections in order to increase transparency in the crypto money market and protect investors. The Financial Intelligence Unit (FIU) has examined some overseas -based crypto currency platforms operating in the country. Various measures for the platforms found to serve without compliance with local laws are on the agenda. FIU evaluates sanctions, including access blocking.
Strict inspection started on indifferent platforms
The Financial Intelligence Unit announced that platforms such as Bitmex, Kucoin, Coinw, Bitunix and Kcex serve investors in South Korea without being registered. It is stated that these platforms do not comply with local regulations and operate without completing the registration process. FIU, after this determination of the official review process on the platforms launched.
According to the authorities, these platforms reach local investors via Korean websites. In addition, they carry out operations targeting local investors by providing marketing activities and user support services. In order to prevent these activities that do not comply with the legislation, negotiations are underway between regulatory institutions.
FIU officials, currently not reporting from abroad, said they are working on how to prevent access to access to platforms. It is expected that concrete steps will be taken and comprehensive measures will enter into force this year. Within the scope of the investigation process, the determination of damaged users and the collection of data continue.
Central Bank is preparing for digital money test
South Korea Central Bank announced that it does not find the idea of creating a digital asset reserve due to volatility and financial risks. Instead, the Central Bank announced its focus on the development process of the digital currency (CBDC) development process. It was announced that the trial program, which was planned to be started in April, will last for about three months.
The essay is seen as an important step towards strengthening the country’s digital payment infrastructure. In this process, the Central Bank will test the technology infrastructure and analyze potential risks. In addition, citizens will react to digital currencies.
South Korea has started to create a more comprehensive regulatory framework to follow the growth in the crypto money market and to protect the investor. Particularly, more strict rules were brought about the fight against money laundering. These measures are expected to ensure that the sector becomes safer and more transparent.
Responsibility Rejection: The information contained in this article does not contain investment advice. Investors should be aware that crypto currencies carry high volatility and thus risk and carry out their operations in line with their own research.
