One More Regulator To Verify Activities Of South Korean Crypto Exchanges
South Korean crypto exchanges are to be inspected by the Financial Services Commission (FSC) along with the Financial Supervisory Service (FSS) that initiated this process during the fight against fraud schemes for money laundering, the Korea Times reports.
FSC representatives will analyze whether the bank accounts of South Korean exchanges comply with government standards designed to eliminate illegal activities, in particular, money laundering. The regulators are expected to carefully check the operation of Bithumb, a large South Korean exchange.
Despite the forthcoming inspections, public authorities state that the application of blockchain technology will not be limited in the financial sphere. In their opinion, cryptocurrencies are useful as a payment.
According to Kim Yongbeom, Vice Chairman of the FSC, blockchain technology is being implemented more nowadays thanks to its accessibility and effectiveness. He noted that blockchain has the capacity to transform control methods for the securities market, and that regulators should respond to these trends.
As previously reported, Yoon Suk-heun, head of the Financial Supervisory Service (FSS) of South Korea, who will officially take office on May 8, stated that the FSS considers cryptocurrencies in a positive light and plans to work with state regulators.