South Korean bitcoin exchange Bithumb has introduced new restrictions as part of its anti-money-laundering policy. The Korea Herald reports The Korea Herald.
According to the publication, the measures affect residents of countries on the FATF’s increased-monitoring list [simple_tooltip content=’Financial Action Task Force (FATF)’]FATF[/simple_tooltip] and jurisdictions deemed high-risk.
The first list includes the Bahamas, Barbados, Ghana, Iceland, Mongolia, Pakistan, Syria, and others. The second — Iran and North Korea.
Bithumb will block existing user accounts from the listed regions and will prohibit residents from creating new accounts, the publication says.
“The company will continue to improve its system to protect investors and increase transparency in the cryptocurrency market,” The Korea Herald quotes the exchange’s spokesperson.
Journalists also reported on the exchange platform’s intention to tighten KYC procedures. According to them, Bithumb, in collaboration with Octa Solution, developed anti-money-laundering solutions for digital assets.
On Wednesday, March 10, Chainalysis announced its collaboration with Bithumb. Using the tools provided by the analytics company, the exchange plans to enhance security.
In September 2020, Seoul police conducted a series of searches at Bithumb’s offices and seized part of the shares of Bithumb Holdings, owned by Bithumb Korea director Kim Ben-Genu.
In the same month, the exchange’s CEO Lee Jong-hoon was summoned for questioning in a case of fraud involving the native Bithumb token BXA. According to investigators, he raised about 30 billion won (~$25 million) in a presale but did not list the coin.
Against the backdrop of news about Bithumb’s problems with authorities, the media reported that the company had been put up for sale again. Its value reportedly ranged from $430 million to $600 million.
Back in January 2021, journalists named as a likely buyer Bithumb gaming corporation Nexon Group. Representatives of the latter denied reports of a potential deal worth 500 billion won (~$457 million).
Subscribe to the ForkLog channel on YouTube!