South Korea's New Cryptocurrency Regulations Came Into Effect

Earlier this month, cryptocurrency investors were spooked due to South Korea's crackdown on cryptocurrency. New rules came into effect today, January 30 and traders feel positive about the new changes.

According to this document, starting today, only traders with bank accounts with real name came trade cryptocurrency. Only banks accounts that comply with know your customer and anti-money laundering obligations can take part in trading from today.

Financial Services Commission of South Korea hopes these new regulations will prevent use of cryptocurrency in illegal activities.

A representative of "Bithumb" - South Korea's leading crypto exchange has said,

Nothing has changed in terms of coin transaction.

Traders feel these steps are in the right direction and good in the long run.

Julian Hosp, co-founder and president of TenX - a cryptocurrency start-up said

I think it's the start of a crackdown on anonymity and the illegal use cases that some cryptocurrencies might have.

He also added,

If, afterwards, investors and companies have more legal security working in the ecosystem, it's going to have some short-term downsides, but long term, it's going to have a really, really big boost.

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