On September 14, 2021, Bitfront Exchange, a subsidiary of Japan’s LINE, announced that it would limit its crypto services in South Korea.
According to reports, Bitfront exchange will cease offering its services, primarily in Korean, during that time. Furthermore, Bitfront exchange will not accept payment for any of their services using a Korean-based credit card.
All of this would occur when the scheduled time came to an end. Bitfront exchange has decided to suspend some of its services as a result of South Korea’s tightening anti-money laundering laws. Specifically, the legislation is geared primarily toward virtual currencies.
According to the statement, this is the first time in history that foreign exchanges may limit their services in the country. Notably, because of unfavorable crypto regulations.
In terms of regulation, South Korea has asked cryptocurrency exchanges to register their services by September 24th, this year. In turn, the authorities in charge have requested that all existing exchanges obtain a “certificate of information security.”
Furthermore, virtual asset service and crypto exchange providers’ certificates must be accredited by the Korea Internet and Security Agency in order to operate in the country. Furthermore, beginning September 25, crypto exchanges that do not have real-name bank accounts will be barred from making withdrawals.