Altcoins Making Noise in South Korea Worries Bankers Association KFB
South Korean investors are now focusing on short-term returns that have made them shift to altcoins. Some investors are more drawn to support new coins in the cryptocurrency market like SHIB over Bitcoin. The sudden decline in BTC first-quarter trading volume can also be associated with investors shifting to altcoins. Especially in South Korea, where altcoins whose prices are not that expensive to buy have become the best choice.
The rapid growth of altcoins on the country’s crypto exchanges has made Korean regulators question the surge. KFB or the Korean Federation of Banks is requesting a deep dive analysis to be done by all banks into their crypto exchange clients. The regulators are concerned about crypto exchanges adding a huge number of projects to their listing showing significantly high trading volume.
The goal is to intervene and minimize investor’s exposure to risks by studying each crypto exchange’s trading volume and gauging its capacity to carry the altcoins.
One official of KFB stated, “One of the criteria that we recommend is the safety of digital assets and that can be measured by the number of digital coins on an exchange. If an exchange deals with too many digital assets, it takes on more risks.”
This move has come in addition to the revised law on anti-money laundering that materialized on March 25, declaring that banks are required to increase the screening of digital asset transactions. KFB sent more guidelines to the banks to ensure only safe digital assets will be traded by their crypto exchange clients.
ABOUT THE AUTHOR
See More
Sidebar rates
Add 3442
Related Posts
SaveAdd 3440
Join 350 000+ traders receiving Free Trading Signals
Alerts
Rates
Calendar
Signals