It has been a very rocky time for South Korean crypto investors as the new onslaught of regulations left the market with fears of banning crypto all together. Late December, and early January of this year, many of South Korea’s largest crypto exchanges were investigated and raided.
Regulators demanded exchanges hand over customer account information, as well as all trades, and business operation documents in order to combat fraud and tax evasion. Exchanges had to put a halt on trading and accepting new users until a proper KYC (know your customer) process was implemented.
One of South Korea’s largest exchange Bithumb has announced that starting Feb 9th, new registrations will be open so long as investors complete the KYC process. All previously opened accounts will also need to complete verification if they would like to continue using the platform. The financial ministries of the state have set up procedures at some of the country’s largest, domestic banks (NongHyup Bank and Shinhan Bank) where investors will have to go to confirm their identity. All though many are not happy with their privacy lost, South Korea’s financial ministers have confirmed that there will not be a ban on investing in cryptocurrency markets so long as regulation is placed and met.