Major South Korean Exchanges Tie-Up for a Healthy Cryptocurrency Ecosystem
Seven crypto exchanges unite in signing the Agreement for the Creation of Sound Cryptocurrency Ecosystem for the appropriation of information and the instantaneous monitoring of unusual transactions.
The signing happened on South Korea’s National Assembly Monday. The seven exchanges who signed are Bithumb, Upbit, Korbit, Coinplug, Coinone, Hanbitco and Gopax. The collaboration is directed at fostering a robust ecosystem by preventing crime, money-laundering, and other illegal transactions, protecting investors, toughening customer identification, and restricting transactions of unverified customers. As per the agreement, a consultation system will be set up to meet the said goals.
Regulatory Guidelines Set for 2019
Self-regulation is not enforceable by law. Hence, the cryptocurrency sector has a pressing need for government regulation.
In the Monday meeting, Kwon Dae-young of the country’s financial innovation bureau says that his department is making efforts to institutionalize cryptocurrency exchanges. But dealing with the harm done to many of its investors should be resolved first. He further said that ‘trust and authenticity are important.’
Also present in the assembly is the head of Dunamu Inc., Lee Seok-woo who suggested some regulatory measures. His proposal consists of having a registration system and obligating the KYC and AML process.
Dunamu Inc. is the operator of Upbit.