Korea to Tighten Crypto Exchanges Rules

Now domestic banks who provide services to crypto exchanges must now monitor all the accounts held by an exchange
28 June 2018   640

The Financial Services Commission of South Korea (FSC) has tightened the rules to combat money laundering, which relate to the activities of crypto exchanges. This is reported by CoinDesk.

According to the amendments, the banks that serve the exchanges are required to control the movement of both funds in the accounts of traders and their own assets of the cryptoexchanges. Also, financial institutions should notify the FSC about suspicious transactions.

The new rules appeared after check of three large Korean banks - Nonghyup Bank, KB Kookmin Bank and KEB Hana Bank. The regulator found that some exchanges transferred assets from the deposit account of investors to their own operating accounts.

According to the FSC, due to lack of control, exchanges can launder money or evade taxes by using their operating accounts to purchase cryptocurrency on foreign platforms.

As reported, the amendment will require banks to keep an eye out for transactions in which exchanges move assets to or from foreign exchanges. In cases where suspicious transactions come to light, the information must be shared with the FSC.

Bitfinex to List BCH' Chain Split Tokens

Bitfinex warned that support for BAB and BSV could be temporary
14 November 2018   56

The Hong Kong cryptocurrency exchange Bitfinex has listed the so-called Chain Split tokens for the two implementations of the Bitcoin Cash protocol. Bitcoin Cash hardfork is planned on 15th of November.

BAB [Bitcoin ABC client] and BSV [Bitcoin SV client] tokens will be traded in pairs with Bitcoin and the US dollar. The Token Manager tool will allow users to convert their Bitcoin Cash into one of the tokens. This process is reversible, Bitfinex emphasized. At the same time, marginal trade in tokens will be unavailable.

After snapshot of the network, the corresponding coins will be automatically converted into BAB and BSV onchain tokens, and all current Bitcoin Cash holders will receive an equivalent number of coins. However, if the user has a short BCH position at the time of the snapshot, the margin will be canceled, and the borrower, if he does not have enough tokens, will have to cover the negative balance sheets until December 31.

Bitfinex also warned that support for BAB and BSV could be temporary, and that as soon as all negative balances were covered, the exchange could delist them, allowing limited time for withdrawal.