The South Korean Ministry of Justice revealed intentions to implement a crypto-tracking system to combat money laundering schemes and reclaim cash associated with criminal activity.
According to local media outlet khgames, the “Virtual Currency Tracking System” would be used to keep track of transaction history, extract data about transactions, and verify the source of cash both before and after the remittance.
List of Crypto exchanges involved
The domestic crypto exchanges Upbit, Bithumb, Coinone, Corbit, and Gopax and the South Korean authorities entered into a cooperation agreement in October, promising to work together on any crypto-related criminal investigations. Bithumb is currently being looked at for price-fixing and tax evasion.
The Digital Asset Basic Act, which would be based on 17 different suggestions, is now being considered by South Korean politicians.
Role of the tracking system
The crypto monitoring tool will act as a deterrent to cybercrime, enhancing the level of security enjoyed by crypto investors in South Korea. In addition, the cooperation agreement between the Korean Police and five major local cryptocurrency exchanges on fraud and theft involving digital assets already benefits investors.
The future tracking system has not yet been given a precise release date or detailed description of its features. However, given the intention to make the tool available before the year is through, more updates ought to be provided by the Ministry of Justice very soon.
