Right now South Korea is one the countries with the biggest cryptocurrency-related infrastructure. Several large exchange services are also stationed there. All this makes South Korean regulators the biggest heavy-hitters in the field of cryptocurrency regulations. And now they plan to join forces with their Chinese and Japanese colleagues to promote inter-state regulations and law-making effort.
Also, as you can understand, the prosecutors will be able to reach across borders to investigate and close up any illicit activities such as money laundering and crime financing, performed through the blockchain.
Korean authorities plan to step forward and exchange their trial-and-error experience in cryptocurrency regulations for all of the Asian countries to benefit from. Deputy finance ministers from all three countries have already conducted a meeting last month to exchange ideas in the field.
For example, right now South Korean authorities are investigating six banks for the possible involvement in money laundering. Accounts of cryptocurrency traders are the primary targets in this investigation effort. The banks should acts as a gatekeeper to filter out the possible illegal activities and must report any such findings, said South Korean Financial Service Commission chairman Choi Jong-ku. In the latest interview to Yonhap News Agency he also briefed media about upcoming bank inspection, that will run starting this Thursday with Korean Financial Intelligence Unit participating in the action.