TechFlow news reported on November 2, according to Yonhap News Agency, the Korea Financial Intelligence Unit (KoFIU) under the Financial Services Commission announced it will begin publishing a legislative notice on November 3 for enforcement decrees related to the amended "Act on Special Financial Information." According to the enforcement rules, virtual asset service providers will be prohibited from trading privacy coins and handling virtual assets with money laundering risks. Virtual asset providers will also be banned from processing transactions related to prepaid cards, mobile gift vouchers, and electronic bonds. The enforcement rules further specify requirements for real-name verified deposit and withdrawal accounts, including separate storage of customer funds, obtaining ISMS (Information Security Management System) certification, and segregated management of customer transaction records. These revised enforcement rules will take effect in March 2021.
Earlier in March, South Korea's National Assembly passed the "Act on Special Financial Information," which includes provisions establishing a licensing system for cryptocurrency exchanges and requiring banks to support real-name account registration for crypto exchanges.
