Last-gasp Negotiations by South Korean Crypto Exchanges Fail 0 60

The crypto sector in South Korean was left reeling after all, but four of the country’s trading platforms removed their fiat on/off ramp services and KRW pairings, or completely ceased operations. The platforms had been told to secure banking partnerships based on real-name authentications and also get information security management system (ISMS) certified by today in order to continue their operations. Having just ISMS certification would make the exchanges eligible for offering only crypto-to-crypto services and banking partnerships are required for KRW-related business. Consequently, only the four biggest exchanges in South Korea i.e. Coinone, Upbit, Korbit and Bithumb that had already established banking deals with their partners would be permitted to offer KRW-related services to their clients tomorrow.

However, this is not certain in the long run because regulators are still going over the applications of the four exchanges and it could take up to three months for them issue operating permits. Furthermore, banking contracts are only in effect for six months and if a partner pulls out after the six months, the relevant exchange would not be able to offer KRW services. People who were doing business with the other platforms now have to decide what they are going to do with their coins and money. 

This is around 2.2 million account holders who have around USD 2 billion worth of fiat and tokens. A small group of exchanges had attempted to enter into banking deals, with a few negotiations going down to the wire. Having 566,608 account holders, Gopax turned out to be the last one that threw in the towel. It posted on its website that the bank it was negotiating with said that concluding a deal would be difficult. Having 337,981 account holders, Huobi Korea had also made a similar attempt, but accepted defeat on the morning of 24th September. 

The other larger and non-big four platforms chose to open altcoin-to-bitcoin (BTC) markets for the convenience of their customers who are holding altcoins. Nonetheless, this fallout will probably widen because until today, there were a total of 63 exchanges operating in South Korea. There is some confusion regarding the number, as some claim there were 66. The big four platforms will certainly reap the benefits because they are likely to see an influx of customers who will no longer be able to use the other exchanges for KRW services. According to some media outlets, almost 30 of the exchanges have completely shut down, but the full extent of the damage will only become clear from next week onwards.

Appeals for more time and clemency made by the industry as well as politicians were rejected by the regulators. Instead, they told customers to file reports to the police and the Financial Supervisory Service if the exchanges don’t approve their withdrawal requests. All exchanges have also been informed that if they decide to cease operations, they have to give at least 30 days to their clients for making a withdrawal. This outcome is likely to create a near monopoly in the South Korean crypto market. 

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Sentenced ‘Bitcoin Czar’ Named Among Pandora Papers 0 9

Juts couple of days ago ICIJ published its new research about some of the world’s top leaders’ and influential peoples’ stories of financial misconducts.  The reports by ICIJ also argued that “Bitcoin czar” may have been the member of the Carbanak hacking group. The International Consortium of Investigation Journalists (ICIJ) have also discussed the crypto criminal in their new leaks called “Pandora Papers.’

The ICIJ’s Pandora Papers have claimed “Bitcoin czar” a famous criminal who masterminded the largest “cyberheist in history” own the offshore assets. However, the Pandora Papers also said that those offshore assets being managed by a third independent firm.

Pandora Papers have exposed how some of the world’s most influential people have hidden their wealth. Where those papers have exposed world’s top 300 politicians and businessmen. The report has also discussed the operations of hacker group Carbanak. The cybergang according to the reports have stolen around $1.24 billion from financial institutes and the digital crypto exchnages as well. The network operated over more than 100 countries from 2013 to 2017.

However, the most famous arrest of this network’s members came in 2018, when the authorities finally managed to arrest the master mind Denis Tokarenko (also known as Denis Katana), and many people have voiced that Pandora Papers indirectly called his name.

The reports published by the Bloomberg’s business research and network team concluded that at the time of Tokarenko’s arrest back in the month of March 2018, the Spanish National Police recovered 15,000 Bitcoin (BTC), worth $162 million from his possession. This is history’s biggest crypto scam till today.

The illegal approach adopted by the Tokarenko did not just end here. The Chief inspector of the Spanish police, Carlos Yuste also told the sources that Tokarenko also purchased a bitcoin mining system in China. He used his mining system to launder his illegal Bitcoins as well.

Despite the fact that Pandora Papers have not directly covered the crypto thefts and other cyber-attacks, but these papers have partially included the incidents from digital trading as well. This leads to the future possibility the ICICJ might decided to open up about the digital thefts and cybercrimes incidents as well.

But the fact is that Pandora Papers have provide quite the useful insight about the some of world’s most famous cyber-attacks on the recent time. If authorities decided to put investigate these facts, then there might be multiple people who find them behind the bar. The primary issue regarding the cyber-attacks culprits is that majority of them gets away because of the lack of the profs. The only notable person who was sent to prison on committing a cybercrime was former Rizal Commercial Banking Corporation employee Maia Santos Deguito.

Uzbekistani Citizens Warned Against the Use of Unauthorized Exchanges 0 9

The government of Uzbekistan has been quite proactive when it comes to the use of crypto exchanges. As most of you may know, there has been a fair bit of commotion in the crypto world and most of it exists because of the regulations being implemented by a large number of governments. While some people are not in the favor of these regulations, many people, including a large number of crypto experts believe that they will be quite handy.

This is because regulating crypto will ensure that people don’t have to worry about false transactions, scams, frauds, and a large number of other issues prevalent in the world of crypto. The government of Uzbekistan has been especially quite determined to eliminate crypto-related corruption in the country. One of the first steps that the country has taken is to make sure that people in the country steer clear from making transactions with unauthorized exchanges.

For those who don’t know, there are loads and loads of exchanges operating in Uzbekistan and other countries in the world. Sure, not all of them are unauthorized but you will be surprised to learn that a large number of them happen to not be authorized.  What makes things so complicated is the fact that knowing which exchange is legit and which one isn’t can be quite challenging. This is because most exchanges, if not all, look one in the same and it is difficult for people to tell them apart.

This is one of the main reasons why the government of Uzbekistan has stepped in and tried to take matters into its own hands. One of the main aims of this exchange is to make sure that people do not have to worry about checking which exchange they would choose to invest crypto in. Instead, the government has been helping people quite a bit by creating teams just for the purpose of checking these exchanges.

In addition to that, the Uzbekistani government has also issued a notice against unauthorized crypto exchanges, stating that using them could result in serious action. Upon checking some of the exchanges operating in Uzbekistan, it was learned that there were more than 5 of them that did not have their own offices in the country. Instead, research teams found out, after a thorough investigation that these unauthorized exchanges were operating from somewhere else.

This was enough to suggest that the government is indeed hard at work to steer clear from crypto corruption in the country. Because of this, governments of other countries have also become quite proactive in order to eliminate any sort of corruption to keep investors safe.

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