In Malaysia Crypto Trading Now Required Customer ID

New policies for crypto exchanges developed by Malaysia's Central Bank is now the law of the land  
01 March 2018   668

According to the announcement, the new "Anti-Money Laundering and Counter Financing of Terrorism Policy for Digital Currencies" entered into force. As it is indicated in the published policy  documentation, the rules will affect all activities performed by cryptocurrency exchanges that offer both fiat-to-crypto and crypto-to-crypto trading services.

This policy followed months of public consultation. In December, draft rules were published by officials from the central bank. According to the policy, exchanges must check and collect information about the customers who are using their trading platforms more carefully.

The policy document states that institutions are required to conduct customer due diligence on all customers and the persons conducting the transaction when the reporting institution established business relationship with a customer, and when the reporting institutions have any suspicion of money laundering or terrorism financing.

The required data must include the customer's full name, their address and date of birth, as well as information about the purpose of their transactions.

At the same time, the central bank stressed that this policy doesn't represent any kind of endorsement from them nor does it mean that officials are moving to consider cryptocurrencies a form of legal tender in Malaysia.

Japan to Tighten Regulation Due to Zaif Hack

$ 62 000 000 worth cryptocurrency was stolen from the Zaif exchange few weeks ago
25 September 2018   83

Hacking of Zaif exchange is the reason for toughening control over the market by the financial regulator of Japan, Reuters reports.

The first measure taken was administrative sanctions against the exchange and its operator Tech Bureau Corp. The Financial Services Agency (FSA) has expanded the list of requirements for the latter, pointing out the need to identify preventive measures and search for the organizers of the theft.

Shortly before that, researchers of the Japanese financial company Tech Bureau Corp could not provide details of the theft of $ 62 million from the Zaif crypto exchange at the request of the FSA. The Osaka-based operator had to investigate the causes, consequences of the theft and options for compensating the victims. According to the Agency, the financial company could not cope with the task.

According to the Tech Bureau, the exchange was hacked on September 14 within a few hours. The problem with the server was discovered by the site staff on 17 September. Official confirmation of the incident and notification of the authorities was made only a day later.

Recall, the theft of $ 60 million from the Japanese stock exchange Zaif caused a surge of volatility of bitcoin. For a short time the price was able to overcome the distance of $ 400.