Foreign media: South Korean cryptocurrency exchanges seek "seamless" anti-money laundering solutions

According to Cryptonews, there are only a few months left before new regulations requiring all crypto exchanges in South Korea to implement strict anti-money laundering (AML) policies come into effect. Now exchanges are taking solutions in advance and avoiding conflicts with the law.

Lee Jong-cheol, a blockchain business consultant and former banking industry employee, said major South Korean exchanges appear very keen to launch a converged solution that would allow customers to quickly clear initial anti-money laundering and KYC protocols in one go.

"Anti-money laundering solutions are likely to be seamless. In most cases, customers won't even notice they exist unless they make the kind of transactions that would raise alarm at a bank," he said. Local media said some exchanges began preparing their anti-money laundering solutions before the new bill was passed in February.

Upbit said it has been working with Chainalysis and “building out” its AML system. Bithumb has partnered with a company called OctaSolutions, which will provide customer verification solutions as part of a new suspicious transaction reporting (STR) system. Two other exchanges, Coinone and Korbit, have partnered with anti-money laundering solutions provider Able Consulting.