Credit Finance Association of Korea Blocks Crypto Payments

South Korea continues to intensify its policy towards cryptocurrency as 8 South Korean card companies are reportedly blocking transactions to overseas cryptocurrency exchanges
23 January 2018   604

Credit Finance Association of Korea (CREFIA) is a non-profit organization with the members of Credit Specialized Financial Business Companies, such as credit card, leasing, installment financing and venture capital companies, developing credit specialized financial business industry through constructive cooperation, information sharing, and promotion of research for mutual benefits of the members. 

CREFIA revealed that South Korean credit card companies are currently working on blocking payments to overseas cryptocurrency exchanges.

We will continue to prevent transactions from being carried out if a foreign [cryptocurrency] exchange is registered as a merchant.

The Credit Finance Association of Korea

The finance association reported to South Korean media Yonhap that 8 local credit card companies are in the process of suspending credit/check card transactions so that the users would not be able to buy virtual currency at overseas virtual currency exchanges with local credit cards.

The credit card companies include:

  • BC Card 
  • Hyundai Card
  • KB Kookmin Card
  • KEB Hana Card
  • Lotte Card
  • Samsung Card
  • Shinhan Card
  • Woori Card

Previously, we have reported that South Korean financial authorities banned opening anonymous cryptocurrency accounts, and that Korbit exchange stated that foreigners would not be allowed to deposit Korean won at any domestic cryptocurrency exchanges.

Bakkt to be Launched in December

It is also reported that Goldman Sachs does not plan to create custodial cryptocurrency solutions based on the Bakkt infrastructure
19 October 2018   67

The expected launch of the Bakkt will take place on December 12 of this year. It is reported by The Block, citing informed sources.

Also, the material states that the investment bank Goldman Sachs does not plan to create custodial cryptocurrency solutions based on the Bakkt infrastructure. At the same time, the bank is considering the possibility of trading futures on a new platform.

In a recent Fortune interview with Bakkt, Kelly Lofler said that the cryptocurrency market is on the verge of a revolution comparable in size to the one that occurred on the energy market in the early 2000s.

Greater institutional participation in the digital asset markets requires secure and regulated custody solutions. We are impressed by BitGo’s product, unique services, and the management team. We view our investment in BitGo as an exciting opportunity to contribute to the evolution of this critical market infrastructure.

Rana Yared

Managing director, Goldman Sachs’ Principal Strategic Investments group

Bakkt is a cryptocurrency unit of the Intercontinental Exchange (ICE), which is the operator of the New York Stock Exchange. Giants such as Microsoft and Starbucks are taking part in creating of the new project, which is positioned as an “ecosystem for digital assets”.

The new platform will offer deliverable bitcoin futures to the market (unlike the settlement contracts for CBOE and CME, these are based on the underlying asset). The platform will support multiple fiat currencies.