Several monetary regulators in South Korea are planning to join hands to reinforce the country’s battle against illicit cross-border crypto transactions, particularly Bitcoin (BTC), as a result of last Friday’s Financial Supervisory Service (FSS) virtual meeting.
This interagency earnestness came following the country’s growing problems regarding suspicious investments and possible encouragement of crypto-related illegal practices amidst the industry’s current boom.
With that in mind, it is safe to say that the South Korean government is set to implement even tighter regulations following this particular development.
As reported by The Korea Times, the South Korean government states that the authorities will persistently monitor any signs of illegal trading practices surrounding the crypto market. It then adds that it would be teaming up with several global institutions to systematically crackdown any spotted unlawful activities made via overseas crypto exchanges.
As part of this interagency crackdown, the Financial Services Commission, or FSC, would now require local financial companies to strengthen their respective monitoring practices for any crypto withdrawals. To that state, any suspicious activity should then be reported directly to the country’s Financial Intelligence Unit, which is the one responsible for dealing with financial-based crimes.
In addition to all that, South Korea’s tax agency is also set to put more focus on suspected tax evaders who may possibly be hiding their funds away through the means of cryptocurrencies.
Notably, the crackdown is slated to continue up until the end of June.