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South Korea Prohibits Monero And Other Privacy Centric Cryptocurrencies

The South Korean government is allegedly moving ahead with the proposal to prohibit all privacy-centric cryptocurrencies as part of its initiative to ban money-laundering in the nation, as per a report by Asia Times.

According to the report, crypto assets including Monero, Dash, and Zcash will no longer be permitted to be sold on cryptocurrency exchanges after 21st March, 2021.

South Korea Payment Act & Privacy Cryptocurrencies

The Financial Services Commission, the financial regulator of South Korea, mentioned that the consistent use of privacy-tokens for ransomware occurrences and money laundering were the foremost reasons which provoked the supervisory body to prohibit them.

Furthermore, the new act will fundamentally enhance the prevailing Special Payments Act, a comprehensive virtual asset regulation act approved prior this year in the month of March.

The CPO Magazine mentions:

“Most mainstream crypto coins, such as bitcoin, are not completely anonymous: at the very least they make public the wallet addresses involved in the transaction as well as the amount. Law enforcement can track these transactions back to crypto exchanges, where the wallet holders can potentially be identified either by the email address, they used to register the exchange account or by using personal identification to open it.”

Even though financial regulators across the globe are gradually warming up to leading digital assets including Bitcoin and Ethereum, it would look as if there is still a long way to go for them to control and regulate the privacy-oriented virtual assets.