Bithumb investors can now confirm their real identity for South Korean cryptocurrency transactions through their Nonghyup Bank accounts. This development is due to the new mandate by state regulators for “know-your-customer” (KYC) procedures.
This mandate states that all cryptocurrency exchanges made in the country must implement real-name verification procedures through domestic banks by January 30th, and should apply to all customers. On top of this, domestic banks were ordered back in December to stop issuing new virtual accounts to cryptocurrency exchanges.
Other cryptocurrency exchange firms are having a more difficult time adapting to the new measures, however. Coinpia, for example, failed to successfully integrate their verification system with the local banks and so had to halt their trading and deposit activities. Furthermore, Yonhap, Korea’s news agency, reported that local banks may prioritize only major exchanges like Bithumb, Korbit, Coinone, and Upbit, leaving other small to mid-sized platforms out in the cold.
Shinhan Bank has also been confirmed to be the next bank integration to be pursued by Bithumb.