South Korea To Employ Cryptocurrency Tracking System In 2023
The advent of Cryptocurrencies has brought along with it many opportunities. The decentralization format of this technology is a favorite aspect among many investors. Though it lacks strict regulations, different nations are taking up some steps for this industry at present.
Among such nations, South Korea is in the news at current times. The nation will now have a tracking system for the Crypto space. This will be due to the illegal activities that are carried out in the Crypto industry. Let’s find out more about this aspect in this blog!
What’s This Tracking System?
The nation will take up steps to control and organize the Crypto space. This “Virtual Currency Tracking System” of South Korea will monitor these assets to reduce the chances of illicit activities.
The nation will use this digital tracking system to monitor the entire transaction history and other information about transactions. It will also be helpful to track the sources of funds and their remittances. Log on to https://bitcoin-eraapp.com/ for crypto trading, an official website that simplified trading.
In simple words, the government of this nation will now have control over the market. Tracking down the sources from where the funds enter and leave will be easier than ever! This plan was announced by South Korea’s Ministry of Justice. The ministry stated that the system will be of big help in reducing illegal transactions and funding to criminals!
Why Did The Nation Adopt This System?
South Korea has advanced in terms of the Crypto industry. There is mass acceptance of Cryptocurrencies in this nation, which is a good sign for the market.
But around 75% of the total illegal FX transactions always revolve around Cryptos! This statistic is a big shock for the community as the nation is a huge market for Cryptocurrencies. Also, there is a gradual increase in criminal activities via Cryptos.
To cut down on illegal activities and track down stolen funds, the nation is now launching this system. It will aid in the reduction of rising Cryptocurrency crimes and their usage for illicit transactions. The recent incident of Terra-Luna is providing fuel to the government to take these steps!
The Analysis System And Monitoring
The ministry responsible for this system will implement it by the first half of this year! The Crypto community of South Korea will get to experience this tracking system pretty soon. It will deal with tracking all the financial aspects occurring in the Crypto industry.
With this digital tracking system, the ministry will have access to trace any fund’s origin and check the transfer records. The system will also enable them for extracting data from links of transactions.
The nation is also looking forward to building a distinct analysis system and Cryptocurrency monitoring. Besides that, they are also working on developing the “National Digital Forensic Cloud System”.
The nation will launch this system quite soon in the present year. To let other users access this system it will be available on D-Net.
Agreement With Crypto Firms
The ministry states that they need to work on advanced technologies to stop complex crimes. Developing such modern infrastructure will aid in this aspect. Also, they are trying to set up a system to curb criminal activities that meet global standards too!
In the earlier periods, the police department of this nation maintained an agreement with their local Crypto firms. The department asked around five exchanges to maintain cooperation and ensure safe trading for all!
Refund For Service Outages
Also, the Supreme Court of this nation ordered Bithumb to refund the damages caused to their users. This damage was caused due to the service halt back in 2017! The firm will refund around 132 users, with damage charges of 6 USD to 6,400 USD!
The court also states that the firm will be responsible for a refund if there is any halt in services. And, the cost of all the technical failures will be borne by the firm and not the users!
Conclusion
South Korea is all set to take up new rules and track down Crypto transactions. The new tracking system will function soon. The users will indeed get more security with these tracks and regulations.
