South Korea takes action against unreferenced exchanges

South Korea begins regulation of exchanges

In an official statement released by South Korea’s Financial Services Commission, the country’s government announced today that cryptocurrency exchanges will be required to register their business with the authorities by September 24.

These new regulations will affect platforms based in South Korea, but also those abroad that operate on Korean markets. This includes all exchanges where the Korean language is supported, where marketing is geared towards Korean users and where payments in Korean won can be made.

As of September 24, all transactions made on an exchange that is not listed will be considered illegal. Thus, platforms that do not voluntarily register by this deadline and continue to operate will face penalties.

Under the new law, the penalties are five years in prison or a fine of up to 50 million won, or about $43,500. According to sources, there are even plans to block the websites of the exchanges “to prevent their illegal business operations.

On the same topic – South Korea: electricity costs of cryptocurrency mining will soon be tax deductible

Regulations accelerate

The announcement is the latest in a series of regulations concerning cryptocurrencies around the world.

Earlier in July, the European Union revealed that it wanted to fight money laundering by deploying a new watchdog agency. This one would target cryptocurrencies in particular, which are often singled out by regulators when it comes to criminal or terrorist activities.

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A few days ago, the European Commission announced its intention to strengthen the regulation of cryptocurrency transactions. Through this, it would aim to, among other things, fully track crypto transfers and make anonymous wallets banned.

Earlier in the week, Janet Yellen, US Treasury Secretary, had invited the country’s top regulators to discuss cryptocurrencies and especially stablecoins. Among the guests were Jerome Powell, President of the US Federal Reserve (FED) and Gary Gensler, Chairman of the Security and Exchange Commission (SEC).

All the results of these first measures should be made public in the coming months. Until then, it is logical to expect other governments to move forward with their regulations of the cryptocurrency sector.

Find <a href=”https://cryptoast.fr/actu/regulation/”>all the news about the regulation of cryptocurrencies

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About the author : Lilian Aliaga

South Korea takes action against unreferenced exchanges

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Freelance writer located between Paris and Toulouse. I want to share my passion for the world of crypto-currencies to as many people as possible. I am also interested in technical analysis and trading.
All articles by Lilian Aliaga.