ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronEye IconIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailMenu BurgerPositive ArrowIcon PrintIcon SearchSite TitleTitle ChevronIcon Twitter
Economy

South Korea says 'No' to minors trading cryptocurrencies

Seoul brings in new rules aimed at curbing rampant speculation and crime

A man walks past an electric board showing exchange rates of various cryptocurrencies including Bitcoin at a cryptocurrencies exchange in Seoul.   © Reuters

SEOUL -- South Korea will introduce measures to curb criminal activity and overheated speculation related to cryptocurrencies, including a ban on minors and nonresidents from setting up trading accounts, and a ban on banks from holding or accepting such currencies as security for financial transactions.

The Prime Minister's Secretariat said Wednesday that the new rules are aimed at protecting holders of virtual currencies from cybercrimes, and at cooling speculation. Bills to implement the measures will be drafted soon, the secretariat said.

Banks will be banned from purchasing or holding cryptocurrencies, or investing in businesses handling them. The secretariat called on banks to strictly screen adults when they withdraw or deposit money.

The secretariat said the measures are aimed at protecting users who lack sufficient knowledge from incurring losses, and preventing cryptocurrency exchanges from becoming places of speculation.

It said that in 2018, the government will start requiring cryptocurrency exchanges above a certain size to have certification of compliance with international information security standards.

South Korea recently saw a rash of crimes involving cryptocurrencies, including individual holdings being stolen through unauthorized access to accounts.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this monthThis is your last free article this month

Stay ahead with our exclusives on Asia;
the most dynamic market in the world.

Stay ahead with our exclusives on Asia

Get trusted insights from experts within Asia itself.

Get trusted insights from experts
within Asia itself.

Get Unlimited access

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this month

This is your last free article this month

Stay ahead with our exclusives on Asia; the most
dynamic market in the world
.

Get trusted insights from experts
within Asia itself.

Try 3 months for $9

Offer ends January 31st

Your trial period has expired

You need a subscription to...

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers and subscribe

Your full access to the Nikkei Asian Review has expired

You need a subscription to:

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers
NAR on print phone, device, and tablet media