South Korea Regulator Fines Bithumb for $55k

According to the investigation, hackers twice abducted personal data of Bithumb users
13 December 2017   242

The Communications Commission of South Korea (KCC) fined Bithumb's largest trading platform for 60 million won ($ 55,000) "for allegedly leaking the private data of its users”. This is reported by the Yonhap.

According to the commission, hackers twice abducted personal data of Bithumb users: in April, data leakage of 31,506 users occurred, and in July - 3,434 users of the exchange. 

We took into consideration the fact that the vulnerability occurred due to failure to comply with the safeguards clause and was directly or indirectly exploited by the hacker. Personal information was leaked and monetary damage occurred. The punitive action was taken as the operator did not comply with protective steps, making it vulnerable to hacks and causing leaks of personal data and financial damage.

KCC Representative 

It is also worth noting that there is no additional information on this situation at official Bithumb website or Twitter. 

Bithumb Restored New User Registration

Starting from February 9, users can confirm their accounts through the Nonghyup Shinhan bank
09 February 2018   94

South Korean Exchange Bithumb began registering new traders after the integration of the user identification "know-your-customer" system  (KYC) in accordance with the requirements of the law.

Bithumb reports that starting from February 9, investors can confirm their accounts through the bank Nonghyup. Verification through the bank Shinhan is also carried out.

The integration of the new system on the Bithumb exchange was carried out 10 days after the entry into force of the new rules, according to which anonymous trade in crypto-currencies in South Korea was banned. The Financial Services Commission (FSC) demanded that all exchanges of the country introduce a procedure for identifying real names of traders through bank accounts.

Banks, in turn, pledge to stop opening virtual accounts used for anonymous trading.

At the same time, not all exchanges were able to switch to a new system. Some of them use corporate accounts and independently verify users, which allows them to do the law while others have been forced to suspend trading.

According to the Yonhap edition, banks have the right to refuse to serve small and medium-sized exchanges with crypto currency and work only with large sites, such as Bithumb, Upbit, Coinone and Korbit.