Crypto exchange Huobi Korea failed to Partner with Korean bank
Many crypto exchanges including GOPAX, Gdac and Huobi Korea failed to establish partnerships with local commercial banks of South Korea.
Few months back, South Korean regulators released guidelines for all crypto exchanges and service providers to follow the mandatory guidelines to sustain their operations. Two main guidelines are ISMS certification & Real name account issuance with the partnership with a local Korean bank.
Read also:South Korean province seized $5M worth of crypto from investors
At present, only 4 crypto exchanges are meeting the full legal requirements to sustain the crypto operations in South korea. These four crypto exchanges are Upbit, Bithumb, Coinone, and Korbit.
Total 29 Crypto exchanges out of 66 bank failed to establish partnership with any of the Commercial Bank of South Korea officially, so as a result all 29 crypto exchanges can’t run their crypto operations with the use of Korean won fiat currency, that means they are allowed to give crypto to crypto service only. In a total of 29, only four are standing at a better position. Rest of them are still under doubt whether they will qualify for the second condition or not. All the filled registration by these exchanges will go through a review within the next three months.
There are few exchanges which are claiming that there are some powers which are giving approval for those crypto exchanges which are not qualified in actual level.
According to the report of a local media news, one of the spokesperson of a crypto exchanges stated:
“It is meaningful that many unqualified exchanges are sorted out during the registration process.”
According to many local reports of South Korea, there will be no problem at all because of such restrictions and failure of the crypto services to fully comply with the guidelines. But there are huge chances that monopoly will take for those four crypto exchanges, which are qualified with two main guidelines. And also there will be no competition for those two exchanges.
Read also: COTI to Issue Djed Stablecoin on Cardano Blockchain
