The FCA of South Korea Plans To Regulate Crypto Space

The FCA of South Korea Plans To Regulate Crypto Space

South Korea is debating four crypto-related bills for cryptocurrency regulation. The regulators are into the research process of analyzing 578 cryptocurrencies in various methods, according to the Chairman.

The Financial Services Commission (FSC), the country’s top financial regulator, is also planning to regulate the crypto industry. Chairman Eun Sung-soo stated on Tuesday:

“We are currently conducting preliminary research by searching for and analyzing data on 578 coins in various forms.”

Warnings for the Financial Sector

Significantly, the Chairman likewise affirmed that banks that give real name records to cryptocurrency trades won’t be considered completely responsible if money-laundering is identified with cryptocurrency trades.

Eun has explained that the bank has to report to the Korea Intelligence Unit if they find some suspicious transactions. According to the current law, a bank firm should report when a bank identifies fraudulent activity. 

Moreover, if the bank firms fail to fulfill their duty, then fines will be imposed. The officials have warned the banks regarding the regulations and to follow-up on the process.

Eun was also asked if Binance needed a license to operate in South Korea. Consequently, several regulators around the world, including the United Kingdom, Singapore, and Japan, have recently issued warnings about the exchange.

According to the Act on Reporting and Using Specified Financial Transaction Information, all the crypto exchanges have to report. As a result, the FSC Chairman highlighted that all cryptocurrency exchanges should report to the Korea Intelligence Unit. He added that both domestic and foreign exchanges that provide won settlement have to report to the unit.

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