The South Korean government has announced that the planned ban on cryptocurrencies is not yet effective. It also plans to introduce a system that verifies the authenticity of names.
However, it looks like the Seoul government has now returned. However, according to South Korean media reports, this is not the case. The planned ban was originally intended to counter speculation with cryptocurrencies.
Nevertheless, they wanted to take decisive action against manipulation in the market. So it is planned to proceed with an unspecified system against anonymous accounts. The authorities also said they wanted to prevent market manipulation, money laundering and fraud.
South Korea announced review of banks
For example, over the past week, the government has begun reviewing the country’s six largest banks. One wanted to find out whether they followed the anti-money laundering laws of the country.
Shihan Bank, the largest bank in the country, initially reacted in panic. She told her clients in the virtual sector, including the Bithumb Stock Exchange, that they would discontinue their accounts or that they would no longer be able to interact with them. In response, many customers threatened to boycott the bank in the future.
In response, Shihan Bank has revised its decision and said the bank will reconsider its policy. She wanted it to allow it but to make transfers to existing accounts. However, she points out to her clients that they should eliminate anonymous accounts.
For Shinhan Bank customers, it is still possible to transfer money to existing virtual accounts. However, the government has stressed that, after the introduction of the new system, any user acting anonymously faces penalties.