Industry analysts said that South Korea’s major cryptocurrency exchanges, including Upbit, Bithumb, and Korbit, will follow Coinone’s approach and prohibit transfers to unverified wallets.

Yesterday Coinone announced that it would refuse deposits Unverified private wallet Starting from January 24 to reduce the risk of money laundering. All South Korean exchanges, including Upbit, Bithumb, Korbit and 20 other exchanges, are expected to implement similar or identical measures to Coinone on or before March 25.South Korean government put The exchange accurately tracks the deadline for coin trading on and off the platform.

South Korean blockchain industry analyst Jun Hyuk Ahn told Cointelegraph, “The Korean Exchange is creating its own Travel Rule solution to meet the requirements for operations after March.”

“By March, all South Korean exchanges will have to use some travel rule system, because the government has set deadlines for them by then. Coinone just did it first.”

Exchange rules will also help Far East countries to comply Financial Action Task Force (FATF) “Travel Rules”.

According to anti-money laundering (AML) compliance services SignalThe travel rules stipulate that governments must “ensure that domestic exchanges and transmission counterparties share true identity information, otherwise they will face more AML/CFT monitoring.”

The compliance regulations of these exchanges are part of a series of regulatory restrictions on crypto exchanges that start with Real-name bank account All user requirements. Before the rule was implemented in 2018, cryptocurrency trading accounts could be linked to bank accounts owned by multiple individuals.

By September 2021, exchanges need to pass Internet Security Management System (ISMS) verification and a single domestic bank partner to issue real-name accounts.All exchanges that cannot meet the requirements are forced from Transaction or suspension of service common.

related: Binance Turkey fined 8 million lire for failing to comply with anti-money laundering regulations

The country is also working to resolve global FATF compliance issues related to non-fungible tokens (NFT). Before the Financial Services Commission issued its latest statement on November 24, financial regulators were erratic in their policy directions regarding NFTs. Explore its regulatory options And tax the NFT.

Globally, South Korean exchanges are outsiders who follow the rules. As of now, no other major cryptocurrency spot exchanges require users to verify their private wallets.