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Korea’s Watchdog Greenlights Banks’ Cooperation with Crypto Exchanges

  • Yuri Molchan
    📰 News

    South Korea confirms banks are free to work with crypto exchanges in the regulated environment


Korea’s Watchdog Greenlights Banks’ Cooperation with Crypto Exchanges
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The commissioner of South Korea’s regulator FSC Choi Jong-Ku has confirmed that there are no legal barriers for banks to supply home crypto exchanges with virtual accounts.

Choi pointed out that the main condition for this collaboration to keep going is that exchanges must be geared with KYC and AML systems — only following this rule will trading companies be allowed to receive services from Korea’s banking institutions.

Specifically for exchanges, South Korean banks offer a special service dubbed ‘virtual accounts.’ This enables investors and traders to make instant deposits and withdrawals of the Korean won, which ensures they can keep their funds in won on trading platforms securely.


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Crypto investors show optimism

At the start of the year, South Korean authorities urged banks to stop providing services to crypto exchanges so as to prevent them from laundering money through electronic coins.

Only one large commercial bank, Nonghyup, after working with crypto platforms for more than a year, continued to do so despite the regulator’s warning. But even this bank was made to break its cooperation with Bithumb and other large crypto traders.

Now that the head of the FSC Choi has made the government’s position on this issue clear and encourages banks to resume their collaboration with crypto exchanges, the local trading platforms seem to get a momentum for future work with no barriers from the authorities.

The newly announced position of the FSC on the matter has brought up optimism of South Korea Blockchain Association and all crypto exchanges of all scales that it represents. The legal hindrances for crypto trading in the country have now been lifted, which should stimulate the whole process. This seems good news since South Korea is one of the top major global crypto markets.

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Exchanges improving their security systems

In order to give the situation a more stable base, the Korea Blockchain Association have made local crypto exchanges start working on introducing measures of insurance in order to protect their customers’ money.

However, summer reports show that large exchanges, such as Upbit, Bithumb, and others, were approved by the government to continue their operations since these platforms had implemented the necessary measures of security and local management systems.

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Crypto Wonders: Binance Coin (BNB) Hits Its New ATH, Surpassing Its January 2018's Peak

  • Alex Morris
    📰 News

    Binance Coin is so far the second cryptocurrency (after EOS) that managed to rebound after January 2018's drawdown


Crypto Wonders: Binance Coin (BNB) Hits Its New ATH, Surpassing Its January 2018's Peak
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After surging by more than 14 percent over the last 24 hours, Binance Coin has managed to surpass its previous ATH that was recorded during the peak of the bull market in January 2018, according to the data provided by CoinMarketCap (CMC). The historic rally was triggered by numerous recent developments inside the exchange’s ecosystem.  

Binance Coin, CoinMarketCap
Binance Coin continues to register double-digit gains, image by CoinMarketCap

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BNB makes history

At the time of writing this article, the price of the BNB token is at $24.65, rising above its previous ATH of $24.46 that was recorded on Jan. 12. Hence, Binance Coin, the seventh largest cryptocurrency by market capitalization, becomes only the second asset to reach a new price peak after the crash of the speculation-driven bull market. EOS, which is sitting one spot above BNB on CMC, achieved a similar feat in May 2018.

‘Binance Coin is outpacing the overall crypto market. While Bitcoin is off 75% from its all-time-high, Binance Coin has recovered. There is fundamental growth and synergy taking place that is contributing to the rising price of Binance Coin,’ says BitBull Capital CEO Joe DiPasquale.

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Pumping other coins

On Apr. 18, Binance launched the mainnet of its custom Blockchain Binance Chain. The migration of BNB tokens from Ethereum to Binance Chain is scheduled to take place on Apr. 23. This is going to be the second largest token swap in history.

Binance, which is now completed with Ethereum, has already on-boarded some Blockchain projects, including Mithril (MITH) that experienced a 70 percent price pump after its launch on Binance Chain.

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