South Korean banks have backtracked from their choices to quit overhauling digital currency accounts as crypto financial specialists protested and the government re-talked about its policy. The nation’s 6 noteworthy banks have been informed that they should finish the first arrangement and introduce the framework that would end the anonymous trading of cryptographic forms of money.
South Korean banks have reportedly turned around their choices to quit servicing cryptographic money accounts.
“They will stick to their initial plans to allow clients to open accounts for cryptocurrency transactions using their real names within the month,” Korea Joongang Daily reported.
South Korean banks have reportedly reversed their decisions to stop servicing cryptocurrency accounts. The first arrangement has been for banks to quit issuing virtual accounts and introduce the new government-ordered, genuine name recognizable proof framework. Starting there on, they would just issue genuine (real) name accounts. This new framework is expected to be presented around January 20.
The news outlet detailed:
The country’s financial regulator has pushed banks to stop opening new accounts until they establish a way to verify that the accounts bear the real name of the customer, to prevent money laundering.
A week ago, the controllers started assessing the nation’s 6 noteworthy banks to guarantee they have satisfied their anti-money laundering (AML) commitments concerning virtual account services.
Money Today described
While the inspections will not conclude until January 16, some banks decided to pull out of servicing cryptocurrency accounts “due to strong pressure from financial authorities” and criticism that “banks are supporting virtual currency transactions,”.
A report by Korea Joongang Daily says;
The regulators then informed the 6 banks that their decisions regarding whether to service crypto accounts do not have any bearing on their obligations to install the new real-name system. As such, banks agreed to install the new system as planned. The Korean Financial Services Commission (FSC).
Investor Complaints and bank
Among the banks that chose to quit adjusting digital money accounts was Shinhan Bank. A letter with respect to this choice was quickly sent to the crypto trades right now utilizing the banks virtual accounts services, including the nation’s biggest exchange Bithumb.
Following the bank’s declaration, “some Shinhan clients – conceivably bitcoin brokers – undermined a boycott of the bank,” the publication noted.
AFTER THE NEWS WAS ANNOUNCED, INVESTORS REBELLED AND THE FINANCIAL AUTHORITIES DECIDED TO RE-DISCUSS THE POLICY WHEN THEY ASKED FOR A REAL-NAME CONFIRMATION SERVICE.
Shinhan Bank in this way switched its choice, expressing that the bank will survey its virtual account opening strategy and “will enable stores to existing virtual accounts for now,”
Korea Joongang Daily included, “Shinhan Bank told major local cryptographic money trades, for example, Bithumb and Korbit that they should think of measures to dispose of existing mysterious accounts.”
While it stays feasible for Shinhan Bank clients to store into existing virtual accounts, the government declared on Sunday that anybody doing as such would confront a fine once the genuine name framework is executed.
Crypto Market cap reached $275 billion
Market cap of crypto currencies reached the level of $275 Billion after a spike on 4rth July 2018, Bitcoin maintaining its dominance at 42% , making it the biggest crypto currency in the world.
Bitcoin price currently trading at around $6700 after a 3% spike in the price , making it jump from $6500 to $6700 within minutes, analysts are predicting that this recent upside movement in crypto market in weak and need to sustain these levels in order to attract more buyers, otherwise overall bearish market is still in control.
$7000 is a key level for Bitcoin
$7000 is very important level for bitcoin according to many technical analysts, If it breaks above $7000 and stays there then chances are that upside move will be healthy, otherwise bear will look forward to take control of the situation again.
Switzerland merging Cryptocurrencies with conventional banking
Switzerland is on the right track to become a Crypto nation and country is making efforts to allow cryptcocurrencies to fully access conventional banking .
Bitcoin and other crypto currencies has taken a big hit in brutal bear market of 2018 but that’s not stopping Switzerland to allow cryptocurrencies to fully access conventional banking system within the country. Switzerland is currently in progress and drafting rules and regulations for such collaborations.
Heinz Tännler, Swiss expert & finance director of Zug canton, told media earlier that politicians were moving to allow crypto companies to work with banks, adding that Switzerland’s central bank, financial supervisor and federal government “are willing to help”.
He said: “We hope to clarify relationships by the end of the year at the latest.
“Time is pressing, other jurisdictions such as Malta and Singapore are very active and making a lot of effort to attract these companies. The lack of access to bank services is a significant competitive disadvantage.”
“We have to push certain national institutions to resolve this problem quickly and effectively, but that now seems to be going well.”
Blockchain becoming the global phenomenon
The concept of Blockchain is interesting and attractive for all the countries, many countries may disagree on the existence and usage of cryptocurrencies, but all of them agree with the fact concept of blockchain is not going anywhere and governments can benefit from this technology in various fields, but if you ask any expert of blockchain, he would tell you that success of Blockchain technology has to be linked with existence of crypto currencies, without crypto currencies, and ecosystem can’t exist, many governments around the world are slowly recognizing the fact and Switzerland is definitely on the right track if they allow crypto currencies to work in collaboration with the Banks, because many banks around the world are not allowing crypto currencies to offer services through them, but this initiative will open many doors in that regards.
Crypto market stabilizing gradually
Crypto market is stabilizing around $450 billion market cap after gradual increase in overall value in recent weeks.
Leading crypto currencies are on the rise, lead by Bitcoin, Ethereum, Bitcoin Cash and Ripple. Although increase in bitcoin value is less as compared to other crypto currencies but overall market is on rise with current market of $440 billion.
Bitcoin is currently hovering around the $9300 mark after being rejected at $10000 mark couple of times in last days, Ethereum is on the charge as well but the most surprising one is Bitcoin cash. Bitcoin cash was at $600 couple of weeks ago and now at $1600, shows rapid growth in recent weeks.
Crypto currency of the month has to be EOS, investors of EOS are enjoying a massive rise in value in past few weeks, EOS started April at $5 mark and now is at $18 , value of EOS increased more than 3 times within one month.
Current top 5 crypto currencies
- Bitcoin : $9388
- Ethereum: $741
- Ripple: $0.83
- Bitcoin Cash: $1630
- EOS: $18.28
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