Upbit First S. Korean Exchange to Register With Authorities Before September Deadline

Upbit First S. Korean Exchange to Register With Authorities Before September Deadline

Crypto exchange Upbit was the first to register with South Korea’s Financial Intelligence Unit before a September deadline, the FIU website posted on Friday.

  • Doh Gyu-sang, vice chairman of the Financial Services Commission, expects another one or two exchanges will register before the end of August, local media reported Friday.
  • Authorities have threatened to block the websites of unregistered exchanges that fail to meet the Sept. 24 deadline.
  • Registration has several requirements, including setting up partnerships with banks to obtain accounts for real-name verification.
  • While other exchanges are reportedly having difficulty persuading banks to work with them, Upbit, South Korea's largest exchange, already has a partnership with online-first K-bank for real-name verification.
  • Bithumb, Coinone, and Korbit also have such partnerships, so they likely will be the next ones to register.
  • Foreign exchanges are also under the microscope. The FIU has called on them to register as well if they provide services to S. Korean consumers.
  • Binance limited its exposure to Seoul on Aug. 13, when it stopped offering trading pairs and payment options with the South Korean won.
  • Last week, Upbit's local operator Dunamu rolled out a solution for compliance with the intergovernmental Financial Action Task Force's "travel rule" in Singapore.
  • The FIU will review Upbit's filing within three months, local media reported.
  • Source