South Korea Implements Monitoring System for Crypto Transactions
- The FSS announced its collaboration with South Korean digital asset exchanges.
- The system of the exchange will notify the FSS via a specific data transfer channel.
A system to continuously monitor cryptocurrency exchanges for suspicious transactions has been created by South Koreas Financial Supervisory Service (FSS). The FSS announced its collaboration with South Korean digital asset exchanges. In order to put up a mechanism for continuous monitoring of suspicious transactions on July 4.
The Virtual Asset User Protection Act, which was approved in 2023. In order to govern unfair trading practices and safeguard investors. And it will go into effect on July 19, marking the systems introduction.
Curbing Illicit Trading and Market Manipulation
Moreover, major crypto exchanges that are required to comply with the legislation have reportedly set up a system that allows the regulator to identify and block suspicious transactions, accounting for almost all of the countrys trading activity (around 99.9%).
The system of the exchange will notify the FSS via a specific data transfer channel of any questionable transactions once they have been detected. Also, included in this category are trades whose stated purpose is to participate in illicit trading or market manipulation.
Among the 29 cryptocurrency exchanges that have registered with the FSS and are being monitored under the Virtual Asset User Protection Act as of June 16 are Upbit, Bithumb, Coinone, Korbit, and Gopax. Exchanges will also be required by legislation to implement more stringent criteria for reviewing token listings.
South Korean authorities have been considering the possible consequences of listing the investment vehicle on local exchanges. Since the US SEC authorized spot Bitcoin and Ether exchange-traded funds. Due to the large influx of funds into the cryptocurrency market, one expert warned that more research is required before clearance.
Highlighted Crypto News Today:
XRP Poised for Potential Rebound as Ripple Ecosystem Grows
Read more: https://thenewscrypto.com/south-korea-implements-monitoring-system-for-crypto-transactions/
Text source: TheNewsCrypto – Blockchain & Cryptocurrency News M
