Top crypto exchanges in South Korea are once again showing initiative as they kick off a new joint-program to keep anti-laundering schemes in check.
The biggest cryptocurrency exchanges in South Korea have now launched a new initiative that is targeted at stopping the rising crypto related crimes in the country.
The joint program includes notable exchanges in the country such as Bithumb, Corbit, Coinone and Upbit. Competition is not posing itself as a barrier as the four exchanges prepare to carry out their joint initiative together. A press release, published yesterday, explains the range of cases that the new partnership is bent on eradicating.
Apart from laundering schemes, new forms of crypto crimes are fast raring up their heads in the most unlikely of manners, and the mutual partnership could just be the perfect message to convey the serious advancements in cryptocurrencies and blockchain that companies like Bithumb sees for a country which has until now, have a complicated relationship with digital assets and issues bordering on regulations.
The new initiative has been built on a time-efficient premise which facilitates a closed loop of real-time information circulating between the cryptocurrency exchanges and alerting suspicious trades or activities just in time via a hotline. Another important development that is geared at suspicious nipping activities at its bud is the integration of a shared database which would contain wallet addresses of all suspicious transactions.
The new initiative is considered to be a significant development for South Korean cryptosphere, and the exchanges involved are certainly optimistic that the program would greatly improve fraud detection in the country.
An excerpt from the official release read:
“The joint AML initiative is expected to produce significant results as all four exchanges currently employ effectual user protection and fraud detection practices. In addition, the exchanges have experience operating bank-authenticated virtual accounts, resulting in strong relationships with traditional financial institutions.”
Relationship Status, Complicated
South Korean’s government disposition towards digital currency has ridden many high and low moods that it is arguably difficult to put a label on her positivity or negativity. While the government have done well to stay off issues concerning regulations of cryptocurrency (like it has stayed away from a crypto bill passes since July last year), the country has nonetheless continued to grow into the crypto space—even to the point of dictating terms.
During the good times of 2017, for example, traders in the country were responsible for a third of all bitcoin transactions that occurred throughout the year. The new development is only another required step which would ensure South Korea stay atop the game.