From 1 August one of the largest cryptocurrency exchanges Bithumb stopped to open a virtual account tied to verified Bank accounts. As reported by Business Korea, the platform is not able to conclude an agreement with any Bank.
The publication claims that the new limit will not affect the customers who already have virtual accounts are used for input/output of the assets linked to them via a Bank account.
Bithumb previously collaborated with Shinhan Bank, but their contract was cancelled. In turn, the Nonghyup Bank denied exchange in partnership due to “problems in the protection of clients and information, as well as the prevention of money laundering”.
However, the leadership of the cryptocurrency exchanges stated that they were able to come to a “consensus” with the Bank Nonghyup and the possibility of opening virtual accounts will be restored “in the near future.”
Add that anonymous trading via a virtual Bank account in South Korea is prohibited from January 2018, and the crypto currency exchange are obliged to renew their agreement with the banks every 6 months.
Recall, June 20 Bithumb exchange was hacked, the damage amounted to $31 million, but thanks to third-party financial investments, this amount was reduced to $17 million.