South Korean banks have tightened the requirements for cryptographic trading because of the new rules FATF

Leading South Korean cryptocurrency exchanges faced stricter requirements from local banks due to the new rules from the Financial Action Task Force on Money Laundering (FATF). Reported by The Block .

In particular, from four cryptobirds – Bithumb, Upbit, Coinone and Korbit – demanded the introduction of enhanced measures to counter money laundering to extend the validity of bank accounts of companies.

It is alleged that previously financial institutions "without any objections" extended this period every six months. Nevertheless, the new FATF rules impose responsibility for money laundering on banks, and therefore they decided to raise the requirements for crypto-counterparts already starting this month.

Some experts believe that the introduction of FATF standards can provoke the departure of small and medium Bitcoin exchanges from the crypto market.

Earlier, the South Korean regulator ordered local cryptocurrency trading platforms to compensate the damage to their customers, even if the loss of funds is not their fault.

Note also that FATF presented the final version of the guidelines for the cryptocurrency industry on June 21.

BlockchainJournal has a separate article on how they will affect the digital assets market and its regulation .

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