The results of the June inspections of all cryptocurrency exchanges South Korea showed that half of them do not meet the requirements of regulators, according to CoinGeek.
The inspection was conducted by the Agency of Internet safety and the Ministry of science and technology in response to complaints of unacceptable activities on the local exchanges.
A list of 85 requirements that must be met for the cryptocurrency exchanges of the country, was compiled in the beginning of the year, but the summer test was focused on 17 items requiring immediate correction, 11 of the rules relating to the management of wallets, and 6 less important requirements.
Among these 17 most important items included such questions as the separation of management and security personnel from other colleagues, a password system, control over deposits and withdrawals of cryptocurrencies, as well as the system detection of abnormal actions in the wallet.
It turned out that of the 21 Korean trading platform the most important requirements are 11 exchanges. In addition, eight exchanges (Bithumb, Korbit, Upbit, Coinnest, Coinlink, Coinplug, Coinone and Huobi Korea) have fixed their systems of government purse.
“In systems management, virtual currency wallets most of the vulnerabilities have not been fixed”, — said the Agency experts Internet security Korea.
It is also reported that 12 exchanges pay insufficient attention to the procedures to prevent data leaks and loss of money from their cold storage. 10 sites do not have adequate systems to detect suspicious activity online wallets. 10 more cryptocurrency exchanges have not developed procedures for backup and restore of wallets.
“Due to weak security exchanges the exchange of virtual currency users need to be careful when investing. We will continue inspections of the exchanges to improve security,” — warned the representative of the Ministry of information and communications.
It is reported that the following test Korean exchanges regulators will be held in September. If until this time the country will be registered with the new trading platform, the validation will affect them, officials said.
Recall that after the hacking of exchanges and Coinrail Bithumb the South Korean government announced the tightening of regulation of cryptocurrency exchanges and accelerate the implementation of the regulatory framework for the industry.