KFIU Approves Launch of 12 Local Crypto-exchanges
South Korea played a dominating role in cryptocurrency market on a global scale earlier this year, although, with new regulations by financial authorities, a complete ban on any trading concerning digital currencies resulted in an immediate reaction and shift in SK’s cryptocurrency market.
After word of the new regulations behind the cryptocurrency ban, many investors and exchanges within South Korea expressed immediate fear and concern for business. As a result of the rising concerns, Bitcoin consistently dropped in value down to the recent low that places it at $6233 in value.
As of now, the market is showing a possible shift back to its previous standing after government officials announced that cryptocurrency trading exchanges would be regulated under the same laws or methods applied to bank systems in South Korea. KFIU, the regulation enforcement team, will cooperate with other official lawmakers to apply the new regulations. The next step involves a new proposal and its acceptance to grant regulators the authority to oversee regulation of locally operating crypto-exchanges.
As per recent reports, the South Korean BCA, the association managing blockchain operations and technology within the country, as announced that 12 different exchanges will begin operating and have acquired the proper approval given their sturdy security and operational services.
Among these exchanges are OKCoin, UPbit, Gopax, and Houbi. At this point, the announcement of 12 additional digital trading exchanges opening within South Korea promises to provide more capital for the currently mellow cryptocurrency market after regulators posed a possible and complete shutdown of any cryptocurrency activities within South Korea.
Bithumb has raised some concerns among local investors after the exchange was hacked earlier this year and has yet to resume deposit and withdrawal services for users. A user of the previously hacked platform urged other traders not to use Bithumb due to its unreliable security.
This new twist of events provides more hope for the cryptocurrency industry in South Korea and could play a big part in a much-needed boost to its status.