South Korean Banks Hesitant to Extend Partnerships with Crypto Exchanges

South Korean banks have begrudgingly extended contracts with local exchanges until September while thorough screening is ongoing

News

Mon, 12/07/2021 - 6:04

South Korean Banks Hesitant to Extend Partnerships with Crypto Exchanges

Cover image via stock.adobe.com

Read U.TODAY on

Google News

South Korean banks are reluctant to renew contracts with local cryptocurrency exchanges, Business Korea reports.

So far, major crypto trading platforms are being screened by their banking partners to make sure that they are reliable and safe enough.

Major South Korean Bank Makes Foray Into Cryptocurrency Custody

Upbit and Bithumb, the two biggest crypto players in South Korea, extended their current partnerships until Sept. 24, on condition that they report real-name accounts to the country’s financial intelligence unit to prevent money laundering and illicit fund flows.

Since exchange partnerships do not bring substantial profits, banks are unwilling to take on the responsibility of dealing with the potential risks that they entail.

#Cryptocurrency exchange

About the author

Alex Dovbnya

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at alex.dovbnya@u.today.