After months of confusion regarding the status of cryptocurrencies in South Korea, the Financial Supervisory Service (FSS) governor, Choe Heung-sik, has finally announced that the country will not be turning away from cryptocurrencies: Cryptocurrency Gets The Green Light By South Korea’s Financial Regulator (full article)
Choe reportedly reassured cryptocurrency exchanges that South Korea will allow cryptocurrency transactions. However, the only condition that stands between the buyer and the seller is a ‘normal transaction’. It means that users must use their real names in future purchases, a rule that was passed this year in January. It is meant to prohibit illegal cryptocurrency activities and requires a user to connect their exchange platform to their personal bank in order to verify their information.
South Korean banks have previously shown lesser flexibility in collaborating with cryptocurrency exchanges. Coinpia even suspended trading because it couldn’t find a bank to partner up with. Choe clarified that the government will “encourage banks to make transactions with cryptocurrency exchanges”.