THELOGICALINDIAN - The South Korean government is administering onsite inspections of crypto exchanges afterward the absolution of its emergency measures for cryptocurrency adjustment The regulators accept additionally notified the countrys better exchanges that they are accountable to the Information Security Management System acceptance requirements
Also read: South Korea Clarifies Position After Reports of Possible Ban on All Crypto Transactions
On-Site Inspections of 13 Exchanges
The South Korean Office for Government Policy Coordination and Prime Minister’s Secretariat issued an advertisement on Wednesday to chase up on the emergency cryptocurrency measures unveiled last week.
On December 20, the Korean Fair Trade Commission (FTC) began accustomed out “on-site inspections for violations of customer laws, such as cyberbanking business laws and arrangement laws, at basic bill exchanges for three days,” the Office wrote.
The “target of the investigation,” the government elaborated, is “the 13 above basic bill exchanges operating in Korea and advertisement as telecom vendors beneath the E-Commerce Act.” They accommodate Bithumb, Coinone, and Korbit. Amid added factors, the Commission will “check whether there is any bent amid the agreement and altitude acclimated by the business operators” and booty activity in accordance with accordant laws and regulations.
Furthermore, the government declared that their antecedent inspections of crypto exchanges revealed:
4 Exchanges Subject to Licensing Requirements
The government additionally appear that the Ministry of Science and Technology appear on Wednesday that the country’s top 4 exchanges, Bithumb, Coinone, Korbit, and Upbit, are accountable to the 2018 Information Security Management System (ISMS) acceptance requirements.
“ISMS is a arrangement that certifies that the advice aegis arrangement of companies with anniversary acquirement of added than 10 billion won and boilerplate circadian company of over 1 actor is appropriate,” Hankyung explained.
Small and medium-sized exchanges are afar from the ISMS acceptance obligation, the government explained. For these exchanges, the Korea Communications Commission (KCC) will be responsible, deepening the aegis of claimed information. The Commission will additionally carefully accomplish castigating fines and penalties for exchanges that breach accompanying laws.
The advertisement additionally warns the accessible of the risks of cryptocurrency investing. Citing the bankruptcy filing of the crypto barter Youbit, the government asserted, “it is all-important to pay appropriate absorption to the accident of basic bill belief and to be acute about basic bill trading participation.”
What do you anticipate of the government’s on-site inspections of crypto exchanges and the licensing requirements? Let us apperceive in the comments area below.
Images address of Shutterstock, KCC, Korea FTC, and Business Korea.
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