South Korean Authorities Impose Ban on Anonymous Bank Accounts
South Korean authorities have made an important new step in regulating the cryptocurrency market. The authorities in this country announced that they will ban the use of anonymous bank accounts in cryptocurrency trading.
The ban imposed by South Korean authorities will enter into effect on January 30
Authorities revealed that the ban on anonymous trading will enter into effect starting with January 30. The main purpose of this ban is to ensure that virtual currencies are not used for money laundering and similar criminal activity. Reportedly, the ban might also decrease the interest that people in South Korea have shown with regards to cryptocurrencies.
The cryptocurrency market has known a huge growth in South Korea with a series of people deciding to invest on this market. At the same time, authorities have constantly warned about the risks of investing in a market that lacks regulation and too much oversight from authorities.
Now, the vice chairman of the Financial Services Commission revealed during a press conference in Seoul that starting with the end of the month all cryptocurrency traders in the country will be prohibited from making deposits into their digital currency exchange wallets if the names given to cryptocurrency exchanges are not the same as the names on their bank accounts.
The authority made the first announcement on this subject a couple of weeks ago, meaning that this decision does not come as a shock at the moment. Authorities in South Korea have also previously presented some regulations for local banks to identify clients who are conducing cryptocurrency transactions.
Apparently, the new measures are not going to discourage at least some investors. One investor claimed according to Reuters:
“Everyone knew this was coming, as the government already said they will enforce the real-name system before. Rather, I can see this as a chance to go in, not out. I don’t see any reason to take my money out.”
