South Korea to Tighten Exchange Watch

Financial Services Commission will now directly control trading platforms and licensing system will be introduced, base on FATF recommendations
07 August 2019   666

South Korean authorities will tighten control over local cryptocurrency exchanges, expanding the powers of the Financial Services Commission (FSC), reports Business Korea.

Thus, the FSC unit, previously engaged in the preparation of recommendations for working with exchanges for banks, will now directly control trading platforms. Also, according to officials, a licensing system for exchanges will be introduced in the country in accordance with the recommendations of the Financial Action Task Force on Money Laundering (FATF). This, the Commission is sure, will increase transparency in the crypto industry.

If an amendment to the Act on Reporting and Use of Certain Financial Transaction Information, which reflects the FATF’s international standards for cryptocurrencies, passes the National Assembly, it will be possible to prevent money laundering through cryptocurrencies.
 

Lee Tae-hoon

Head of administration and planning, FIU

The official expressed the opinion that the transition from indirect regulation to direct will make control over the sector more effective.

In June the FATF introduced the final version of the guidelines for the cryptocurrency industry. They say that bitcoin exchanges and other cryptocurrency service providers must follow AML and CFT (counter-terrorism financing) procedures, similar to traditional financial companies.

Soon after the publication of the new FATF rules, South Korean banks tightened requirements for local cryptocurrency exchanges.

Huobi to Launch Brokerage Platform

The service, aimed at institutional investors, is  available to investors in almost all regions where Huobi is present, except China
22 January 2020   138

Huobi cryptocurrency exchange opens a brokerage platform focused on the needs of institutional investors.

The announcement of the Huobi Brokerage platform took place this Tuesday at the World Economic Forum in Davos. The service is already available to investors in almost all regions where Huobi is present, with the exception of China.

The brokerage platform is the first product of the Global Institutional Business (GIB) division, which will focus on serving institutional clients. According to the publication, from the third quarter of 2019, Huobi recorded an increase in the institutional client base by 400% - it was possible to attract 1,700 investors.

GIB currently has offices in London, Singapore, and Hong Kong and will be a top priority for Huobi in 2020 as it continues to expand globally.

 

Huobi

 

Like the American brokerage service Tagomi, Huobi Brokerage provides the ability to execute applications at the best prices by forwarding them to several trading platforms, including third-party exchanges and over-the-counter services. Huobi is known to have over-the-counter partners in Chicago Jump Trading and Hong Kong-based Alameda Research.

In addition, the platform provides services for block trading, individual financing and other solutions for traders interested in concluding large transactions. Bitcoin, USDT, HUSD, PAX, TUSD and USDC are available for trading blocks. By the end of the first quarter, ETH, EOS, BCH, LTC and XRP will be added to them.

2019 brought the first wave of institutional interest but 2020 is when we expect to see the industry mature with growing demand. As we enter the next phase of crypto, Huobi staking an active role in setting new standards for institutional and retail clients alike.

Ciara Sun

Huobi Group vice president