After much “will they or won’t they”, the South Korean government has finally implemented cryptocurrency trading regulations. What will that mean for the crypto market? Let’s find out.
The big news in the cryptocurrency space today is that the long-awaited South Korean regulations have come into effect. This is a topic that made headlines earlier this month when rumors that the South Korean government would implement an outright ban on cryptocurrency hit the press. These rumors subsequently turned out to be false, but not before kicking off a strongly bearish trend in the price of bitcoin and much of the wider cryptocurrency space.
The rules that the South Korean government planned to implement initially hit press back on January 23, when the nation’s Financial Services Commission released this document.
As per the document, the rules involve a number of steps that financial institutions will be required to take to curb the potential misuse of the crypto market and the concurrent risk of money laundering in the space.
For example, if a user makes deposits or withdrawals of more than KRW10 million per day or KRW20 million per week, the FSC deems this as suspicious and requires the banks that facilitate the transaction to to submit what’s called a Suspicious Transaction Report (STR) to KoFIU, which allows the latter to investigate further.
More at:
http://bitcoinist.com/heres-what-the-south-korean-regulations-mean-for-the-cryptocurrency-market/I think this is a good move by the Korean governement, preventing moneylaudring is a good thing.
