Cryptocurrency Exchanges to be Monitored Constantly

A new constant monitoring system will be put into operation this year for cryptocurrency exchanges.

The Financial Services Commission announced on Jan. 30 that new constant monitoring systems for financial crime prevention would be put into operation this year and those would target custody and wallet service providers as well as cryptocurrency exchanges.

The commission is choosing targets to be inspected in view of the number of users, trading value, etc. According to the commission, those exchanges and service providers will be inspected more frequently so that money laundering and the like can be forestalled more effectively.

“We are going to check domestic exchanges first in that 95 percent of cryptocurrency traders are using the exchanges such as UPbit and those account for 98 percent of the domestic cryptocurrency trading value,” it said.

The commission is planning to look into their efforts against money laundering and fulfillment of duties such as reporting of suspicious trading and customer identification. In addition, it is going to increase punishment in the case of little or no improvement.