South Korea's crypto industry opposes AML new regulations, citing excessive compliance pressure

robot
Abstract generation in progress

Crypto World News reports that, according to Yonhap News Agency, South Korea’s crypto industry has expressed strong concerns about the proposed anti-money laundering (AML) regulatory amendments, believing that the related rules could impose excessive compliance burdens on virtual asset service providers (VASPs). The Digital Asset Exchange Alliance (DAXA), representing 27 VASPs, submitted comments opposing classifying all transactions involving overseas virtual asset transfers exceeding 10 million Korean won (approximately $6,800) as suspicious transaction reports. DAXA warned that this rule could cause the number of suspicious transaction reports to skyrocket from 63k last year to 5.4 million, an increase of about 85 times, severely impacting compliance enforcement efficiency. Additionally, the industry opposes the new mandatory obligation to verify customer information accuracy, considering it beyond the scope of legal authority. The Korea Financial Services Commission (FSC) and the Financial Intelligence Unit (FIU) submitted a related draft amendment on March 30, with final review expected to be completed by July.

View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Repost
  • Share
Comment
Add a comment
Add a comment
No comments
  • Pin