South Korea, Digital Assets, FSC, Travel Rule, VASPs

South Korea’s Financial Services Commission (FSC) is seeking legal amendments that would make it mandatory for virtual asset service providers (VASPs) within the country to report the names of their customers.

According to a press release from the financial watchdog on Wednesday, a proposed update to the Act on Reporting and Using Specified Financial Transaction Information is aimed to help guard against money laundering.

The act defines VASPs as “business entities that engage in the purchase and sale of virtual assets, exchanges between virtual assets,†as well as custodians, digital wallet service providers and brokerages.

The changes will mean that VASPs are required to use real-name accounts in their financial transactions with customers.

Additional measures require VASPs to open real-name accounts with financial institutions, keep customers’ deposits separate from their own and obtain a data security certification from the Korea Information Security Agency.

VASPs must have no record of fines or other penalties within the previous five years and must “manage†customers’ transaction records. An assessment of money-laundering risks associated with VASPs by financial institutions will also be required.

Virtual assets like cryptocurrencies aren’t the only assets being targeted: Digital tokens that can’t be exchanged for fiat currencies, as well as e-money, electronically registered stocks, electric notes, commodities and more, will also be in the regulator’s sights.

However, prepaid cards, mobile gift cards and electronic bonds are to be excluded from the scope of virtual assets.

Per a September recommendation by the Financial Action Task Force (FATF), the intergovernmental money-laundering watchdog, over 200 member regulators should profile cryptocurrency users to better identify criminal activity. It also set regulatory standards last summer, including the “travel rule,†stipulating that VASPs must pass on transaction information to other entities above a set value threshold.

See also: Is the Travel Rule Good or Bad for Crypto? Both

The FSC’s proposal is designed to impose AML requirements on VASPs in accordance with the FATF’s recommendations and are not intended to adopt virtual assets into financial regulatory regimes, the watchdog said.

While currently in a period of public comment, the FSC expects to enforce the amendments from March 25, 2021.

Du lịch nhật bản, hướng dẫn du lịch Nhật và đánh giá địa điểm Nhật Bản Japan travel news, japan travel guides, japan holiday destinations and japan reviews

RELATED NEWS

Alternative 401(k) Product Offers In-Plan Cryptocurrency Investment via Coinbase Institutional

On Monday, the San Francisco-based retirement plan provider for small to medium-sized businesses, Forusall, announced the launch of an alternative 401(k) plan that offers in-plan cryptocurrency access. According to the alt 401(k) investment option, Forusall is working with Coinbase Institutional as its retirement plan partner. Forusall and Coinbase’s Institutional Arm Offer Crypto-Infused Alt 401(k) Plan […]

Xem chi tiết: Alternative 401(k) Product Offers In-Plan Cryptocurrency Investment via Coinbase Institutional

Alternative 401(k) Product Offers In-Plan Cryptocurrency Investment via Coinbase Institutional

On Monday, the San Francisco-based retirement plan provider for small to medium-sized businesses, Forusall, announced the launch of an alternative 401(k) plan that offers in-plan cryptocurrency access. According to the alt 401(k) investment option, Forusall is working with Coinbase Institutional as its retirement plan partner. Forusall and Coinbase’s Institutional Arm Offer Crypto-Infused Alt 401(k) Plan […]

Xem chi tiết: Alternative 401(k) Product Offers In-Plan Cryptocurrency Investment via Coinbase Institutional

South Korea’s Financial Regulator Holds Closed-Door Meeting With 20 Crypto Exchanges

Regional reports disclose South Korea’s Financial Services Commission (FSC) had a closed-door meeting with roughly 20 different cryptocurrency exchanges on June 3. The report highlights that virtual asset business operators (VASPs) that attended the meeting all had ISMS (Information Security Management System) certification. South Korean Regulator Holds a Closed-Door Meeting With 20 VASPs A report […]

Xem chi tiết: South Korea’s Financial Regulator Holds Closed-Door Meeting With 20 Crypto Exchanges

BNY Mellon Sets Up Crypto Unit in Ireland as Central Bank Says Bitcoin Is ‘of Great Concern’

U.S. banking corporation BNY Mellon is gearing up to offer crypto custody services out of Dublin where it has just established a digital hub. The news coincided with a stark warning issued by a top central bank official in Ireland who said people should only buy bitcoin if they’re prepared to lose money. BNY Mellon […]

Xem chi tiết: BNY Mellon Sets Up Crypto Unit in Ireland as Central Bank Says Bitcoin Is ‘of Great Concern’

Japan’s Top Financial Watchdog Sends a Warning Crypto Derivatives Exchange Bybit

The Japanese government’s Financial Services Agency (FSA) has issued a warning to the crypto derivatives exchange Bybit claiming that the trading platform is allowing residents of Japan access to the exchange. The news follows the Bank of Japan Governor Haruhiko Kuroda criticizing digital currencies for speculation. Japan’s FSA Warns Bybit Fintech Limited Japan’s top regulator […]

Xem chi tiết: Japan’s Top Financial Watchdog Sends a Warning Crypto Derivatives Exchange Bybit

South Korean Financial Supervisory Service Tasked With Crypto Market Oversight

The Financial Supervisory Service of South Korea will lead government efforts to oversee the country’s expanding cryptocurrency market. The agency has been tasked with the job after prolonged discussions over which Korean regulator should be responsible for the industry. Financial Supervisory Service Takes Responsibility for Crypto Sector in Korea It took the government months to […]

Xem chi tiết: South Korean Financial Supervisory Service Tasked With Crypto Market Oversight

Whistleblower Edward Snowden Says $6 Trillion in Stimulus Is ‘Good for Bitcoin’

The infamous whistleblower and privacy activist Edward Snowden commented on bitcoin on Friday, after the Biden administration said this week it was shooting for 6 trillion dollars in stimulus proposals. Following the $6 trillion in stimulus headlines, Snowden commented on the situation and said it was “good for bitcoin.†Edward Snowden Jabs Biden’s 6 Trillion-Dollar […]

Xem chi tiết: Whistleblower Edward Snowden Says $6 Trillion in Stimulus Is ‘Good for Bitcoin’

South Korea’s ‘Kimchi Premium’ Returns, BTC Prices Up 8% Higher Than Global Average

As cryptocurrency regulation heats up worldwide, South Korean officials have been increasing regulatory discussions concerning the swelling crypto economy. While digital currency markets like bitcoin have tumbled in value in recent times, global crypto market prices have increased across the board on Monday. In South Korea, crypto-assets like bitcoin are once again experiencing a ‘kimchi […]

Xem chi tiết: South Korea’s ‘Kimchi Premium’ Returns, BTC Prices Up 8% Higher Than Global Average

Whistleblower Edward Snowden Says $6 Trillion in Stimulus Is ‘Good for Bitcoin’

Spain Based Custodial Services to Report Ownership of Crypto Assets, According to New Law Draft

Bank of Korea Seeking Technology to Develop Digital Currency

South Korea’s ‘Kimchi Premium’ Returns, BTC Prices Up 8% Higher Than Global Average

South Korean Governor Becomes the First Politician to Disclose Publicly His Cryptocurrency Holdings in the Country

South Korean Deputy Prime Minister Eases Anti-Crypto Rhetoric, Aims to Create More Domestic Market Opportunities

South Korean Ministries ‘Do Not Want’ to Take Charge of Crypto-Related Regulation, Claims Official

South Korean Ministries ‘Do Not Want’ to Take Charge of Crypto-Related Regulation, Claims Official

Other Articles