South Korea greenlights just one crypto exchange, 60 face closure

hugeblack

legendary

Activity: 2506

Merit: 3645

Buy/Sell crypto at BestChange

Quote from: bbc.reporter on September 25, 2021, 01:32:30 AM

In South Korea, around 60 crypto exchanges could go out of business as soon as Friday, with the deadline to meet official government requirements soon expiring.

More than 60 crypto exchanges from South Korea Huh

, I do not think most people can count 10 of them and thus the effect of this resolution may be positive so that it is difficult to mange scam exchange in that easy way.

Generally, all those who using those crypto exchange to convert crypto to fiat must be ready for KYC and will be more sticky anti-money laundering.

We have seen that multinational platforms began to meet these laws so, more platforms will be.

stompix

legendary

Activity: 2912

Merit: 6403

Blackjack.fun

Quote from: JeromeTash on September 26, 2021, 05:59:01 PM

Everyone ever realized that these bullshit news of bans and warnings only come up whenever Crypto market is on a bull run?
Come bear market, all the so-called regulators go into hiding.

Everyone knew about those, just because you haven't read the news it didn't mean they popped right now.
This one is from April but at that time everyone was screaming fud as usual not realizing how real it was.

Quote

The FSC began accepting applications for registration on March 25, but no exchanges have applied yet. Exchanges have until Sept. 24 to have their registration approved by the FSC. The FSC will only approve exchanges that can sufficiently demonstrate the robustness of their AML systems.

Either way, seems like they are dead serious now, don't know how much to rely on google translate but it seems that from now the KYC procedures will need to be overseen by the FCA so there won't be an exchange looking at your picture but the actual data on the ID will be compared to the national database, if you can photoshop your way with some exchanges now this won't be the case anymore. Plus the real bank account, only SK banks, and only certain banks, the fiat gateway is practically cut if you want to keep your funds secret.
Interestingly they are only that keen on the KRW dealings, so it's still possible they will allow non-fiat crypto exchanges with nothing related to fiat pairs to run, but I'm not putting that much hope in it.

dothebeats

legendary

Activity: 3542

Merit: 1352

Cashback 15%

Quote from: sunsilk on September 30, 2021, 02:31:26 AM

On the other thread that I've commented on earlier, they gave a South Korean Taxman to Be Granted Right to Search Crypto Tax Evaders.

I'm having that odd feeling that they do worry about those tax evaders and then be too tight in regulations for the other exchanges. They don't realize that the more exchanges they'll allow to operate, their people will have various choices of exchanges and they'll easily manage to tax everyone towards it.

But if they are this too strict, their citizens who own crypto will still find a way to trade.

The more they try to restrict the movements of those who want to trade crypto, the harder it will be for the government to realize their plans and their visions regarding taxation. They can restrict a lot of exchanges to operate, and even bar the application of some on obtaining licenses, but those established crypto traders will just seek refuge elsewhere and then they will lose more than what they gained here.

Still, I do believe that this regulation imposed by SK is to set the bar high and to not allow subpar exchanges to operate within the country and risk the money of their stakeholders. A little bit stricter than the norm, but still entirely possible.

Findingnemo

hero member

Activity: 2310

Merit: 757

Bitcoin = Financial freedom

South Korea is one of the country which supports all the futuristic things and again this is not a ban, just the exchanges fails to met the criteria set but the regulatory which means the exchanges now have to adjust according to the countries laws and this can be the actual beginning of decentralized exchange's era.

sunsilk

hero member

Activity: 2884

Merit: 620

On the other thread that I've commented on earlier, they gave a South Korean Taxman to Be Granted Right to Search Crypto Tax Evaders.

I'm having that odd feeling that they do worry about those tax evaders and then be too tight in regulations for the other exchanges. They don't realize that the more exchanges they'll allow to operate, their people will have various choices of exchanges and they'll easily manage to tax everyone towards it.

But if they are this too strict, their citizens who own crypto will still find a way to trade.

goinmerry

legendary

Activity: 2940

Merit: 1083

Quote from: JeromeTash on September 26, 2021, 05:59:01 PM

Everyone ever realized that these bullshit news of bans and warnings only come up whenever Crypto market is on a bull run?
Come bear market, all the so-called regulators go into hiding. This only means that most Governments are not happy about the ever-increasing adoption of cryptocurrencies. But regardless of the news about bans, I don't think there will be much effect on the market.

It's not bullshit news. It's a serious one as crypto is now leading to a centralized form slowly. The bull run has nothing to do with it because that talk is already on the government discussion for a long. There's no quick decision and that's not possible. Let's say bull run, do you think government can just say, ban crypto or something else within a short timeframe? It needs a process.

But agree with the last part of your post, I also don't think there will be a big impact of it on the market for the long term. Soon price will emerge again upwards but the question is when.

coin-investor

hero member

Activity: 2856

Merit: 578

Leading Crypto Sports Betting & Casino Platform

Quote from: bbc.reporter on September 25, 2021, 01:32:30 AM

But as of this week, only six have filed applications. Four exchanges (Bithumb, Korbit, Coinone, and the country’s largest Upbit) have signed partnerships with banks.

A number of other platforms are reportedly in talks with banks. However, it’s a difficult box to tick — particularly for smaller exchanges.[/i]

Read in full https://protos.com/south-korea-crypto-exchanges-60-face-closure-blame-banks/

This is one of the risks of trading in a small exchange, when it comes to regulation requirements like this, they will have a hard time convincing potential partners like banks to strike a deal with them, for traders who want to safeguard their coins and funds, it's better to stay away on small exchange and just do your trading in a big exchange that is backed by government and partnership with big companies, even if these small exchanges are offering lesser fees on your transactions.

stomachgrowls

hero member

Activity: 2856

Merit: 769

Quote from: JeromeTash on September 26, 2021, 05:59:01 PM

Everyone ever realized that these bullshit news of bans and warnings only come up whenever Crypto market is on a bull run?
Come bear market, all the so-called regulators go into hiding. This only means that most Governments are not happy about the ever-increasing adoption of cryptocurrencies. But regardless of the news about bans, I don't think there will be much effect on the market.

Sentiments like these arent something new into this market on where there would be always some situation or events that do suddenly pop out without even for us to be anticipating for it to happen.

There might be some significant effect but those are just temporal.Im aint surprised that exchange platforms would really be facing up these kind of issues and requirements as we do go ahead.

Government doesnt really like on what they are currently seeing but to say that this thing is already unevitable because adoption and recognition is really increasing day by day.

JeromeTash

legendary

Activity: 2100

Merit: 1208

Heisenberg

Everyone ever realized that these bullshit news of bans and warnings only come up whenever Crypto market is on a bull run?
Come bear market, all the so-called regulators go into hiding. This only means that most Governments are not happy about the ever-increasing adoption of cryptocurrencies. But regardless of the news about bans, I don't think there will be much effect on the market.

Beparanf

hero member

Activity: 2744

Merit: 761

Burpaaa

Quote from: Charles-Tim on September 25, 2021, 01:44:50 AM

paxmao posted about this few days ago.

New regulation in South Korea has forced several exchanges to close

You can check the replies. These can lead to losing of job for the workers of the exchanges that might likely closed down, but what noticed is that 4 exchanges which banks has been approved make has 90-95% or more of the total trading volume of all the exchanges.

The bank are not ready to partner with lower exchanges because anything related to criminal activities will be on the banks.

With Upbit being compliant, I'm sure the Korean exchange volume will not gonna impact the general market since they dominate volume in Korea. But this news might be used by another FUD attempt since this kind of move might mislead user that's not reading too much about the exchange volume distribution Korea. This news might fuel another leg of dump after the China news FUD release last night. Oh boy whales surely wanna dump the price to accumulate more after eating all the money of poor retail investors on 50K level.

Charles-Tim

legendary

Activity: 1512

Merit: 4795

Leading Crypto Sports Betting & Casino Platform

paxmao posted about this few days ago.

New regulation in South Korea has forced several exchanges to close

You can check the replies. These can lead to losing of job for the workers of the exchanges that might likely closed down, but what noticed is that 4 exchanges which banks has been approved make has 90-95% or more of the total trading volume of all the exchanges.

The bank are not ready to partner with lower exchanges because anything related to criminal activities will be on the banks.

bbc.reporter

legendary

Activity: 2926

Merit: 1440

It appears the cryptospace market participants have given more importance on China’s ban which appears to be similar to a perpetual futures contract. There is no expiration hehehehe. However, I think this news and the effect of this should be given more importance. South Korea is also one of the countries that has given much liquidity to the cryptospace.

In South Korea, around 60 crypto exchanges could go out of business as soon as Friday, with the deadline to meet official government requirements soon expiring.

Authorities gave just one exchange, Upbit, the green light, according to the Korea JoonAng Daily.

Back in March, the Korea Financial Intelligence Unit (the country’s version of the SEC) gave local exchanges six months to fall in line with new anti-money-laundering (AML) legislation.

They were also required to partner with recognized banks that would issue named accounts for traders to qualify for Information Security Management System (ISMS) certification — an information security stamp of approval.

But as of this week, only six have filed applications. Four exchanges (Bithumb, Korbit, Coinone, and the country’s largest Upbit) have signed partnerships with banks.

A number of other platforms are reportedly in talks with banks. However, it’s a difficult box to tick — particularly for smaller exchanges.

Read in full https://protos.com/south-korea-crypto-exchanges-60-face-closure-blame-banks/

Topic: South Korea greenlights just one crypto exchange, 60 face closure (Read 104 times)