In Sunday the South Korean Financial Authorities stated that all cryptocurrency traders who are currently operating anonymously must change to real profiles otherwise they will be penalized. The proposed deadline is the end of January.
In Sunday the South Korean Financial Authorities stated that all cryptocurrency traders who are currently operating anonymously must change to real profiles otherwise they will be penalized. The proposed deadline is the end of January. All investors and traders should either provide their identities to their current accounts or switch to new accounts that contain personal information such as name, address, etc. according to Yonhap News.
Still, it is unknown what penalties the potential anonymous accounts might face but it is certain that Korean authorities are serious about crypto regulation. In accordance with government’s moods, many banks in South Korea are working on discounting anonymous virtual currency accounts. The intention of the institutions is to calm down the highly speculative cryptocurrency trading, which reaches threatening dimensions.
Nevertheless, the Korea Times reports that Shinban Bank is nowhere near to introducing verification requirements in their system. This means that anonymous users are free to deposit or withdraw money from their virtual bank accounts. However, new customers cannot open accounts even if they provide their identities.
In a recent statement, a bank representative said that they originally have developed an identification system just as proposed by the government but ditched it because the trading of digital tokens has become a delicate social topic.
The government of South Korea successfully infuriated the crypto community last week as some officials revealed its plans to scrap cryptocurrency exchanges. But the revelations didn’t only shock the public, the also managed to negatively impact the prices of digital assets. The government plans where revealed by the finance minister as a desperate measure towards the overheated market.
However, the speculations were later dismissed and it turned out that no specific actions towards the ban on crypto trade are going to happen in the near future. Despite that, over 100,000 Korean citizens signed a petition demanding that the authorities reconsider their decisions.