Mandatory KYC verification may contradict privacy laws in South Korea

Mandatory KYC verification may contradict privacy laws in South Korea

Will this legal contradiction be resolved before the deadline?

Published on September 24, 2020

With the South Korean government preparing to implement know-your-customer (KYC) and anti-money laundering (AML) compliance processes, there is confusion among legal experts as to whether the requirements contradict other laws.

According to Digital Today, the new requirements would contravene the existing Personal Information Protection Act, which stipulates that local companies cannot legally request social security numbers.

The measure also cover financial institutions, however they can request it under exceptional circumstances, such as for major banking transactions.

The Enforcement Decree of the Special Payment Act is expected to come into force in March 2021 and will require “virtual asset services providers” to confirm the real names of customers by verifying them against personal data such as social security numbers.

One special note made by the Financial Information Analysis Institute addressed the current situation of the ambiguity in the upcoming AML-KYC bill on crypto exchanges. It argued that because an exchange is hosted purely on the internet it is not just a financial institution but is more like a “mail-order seller like an internet shopping mall.”

“It does not mean that virtual asset operators are given the status of financial business operators or incorporated into institutional financial companies through the enforcement of the revised special money law.”

Local legal experts specializing in the crypto industry stated that due to the ambiguity of the upcoming new AML-KYC compliance measures, “there is still a long way to go, even if such content is included in the Virtual Asset Business Rights Act.”

The crypto bill, to be implemented in March next year as well, calls for existing crypto exchanges to meet requirements for a real-name account and ISMS authentication and report their operations within six months after the law’s implementation.

However, legal experts believe that the issue should be discussed as soon as possible by clarifying the status of the crypto exchanges within the upcoming AML-KYC new measures and if legal exemptions could be applied to the crypto exchanges in terms of asking for social security numbers.

Source: news.iobanker.com

Author: ByioBanker


Venezuela Passes Law Legalizing Crypto Mining, Forces Miners to Join National Mining Pool | Mining Bitcoin News

Venezuela Passes Law Legalizing Crypto Mining, Forces Miners to Join National Mining Pool | Mining Bitcoin News

Venezuela Passes Law Legalizing Crypto Mining, Forces Miners to Join National Mining Pool

Reports say Venezuela has now legalized bitcoin mining following the decree recently issued by the National Superintendency of Crypto Assets and Related Activities (Sunacrip). As part of the new regulations, all entities and individuals interested in legally mining bitcoin and other cryptocurrencies must now apply for a license from the agency.

According to a report, the decree will result in the creation of a National Digital Mining Pool (NDMP), a body that “seeks to bring together all the miners operating on the Venezuelan territory.” Meanwhile, the decree document, which was signed by Joselit Ramirez the superintendent of Sunacrip, does not specify “how much it will cost to obtain these licenses.”

However, to ensure miners conform with these new regulations, the decree reportedly states that:

The authorities will supervise both the creation and importation of mining equipment. Similarly, mining farms for bitcoin and other cryptocurrencies will be able to operate with the support of the State, but only if they are inspected by Sunacrip.

As reported by News.bitcoin.com in July, Venezuela banned bitcoin mining operations in “any low-income neighborhoods with subsidized housing” due to what authorities termed “an excessive amount of power consumption.” Before that, the Venezuelan military had seized approximately 315 Bitmain Antminers.

However, according to regulations, which came into effect after September 21, Venezuela now wants “those who are operating ASIC equipment for mining bitcoin and other cryptocurrencies” to connect to NDMP. Authorities now appear less concerned about excessive power consumption.

Miners operating outside the pool will be subject “to the measures, infractions, and sanctions as set forth in the decree document.”

Meanwhile, the report explains that if Venezuelan authorities insist on controlling and managing the NDMP, this will leave the government in charge of distributing rewards to miners. This, however, creates risks for miners as the pool operator can arbitrarily freeze funds or delay payments.

The crisis-torn country tops peer-to-peer bitcoin trading volumes in the region alongside Brazil, while it remains a key bitcoin mining territory. With a share of the hashrate around 0.42%, Venezuela is the only Latin American state to feature in Cambridge University’s top ten list of countries with the highest bitcoin hash rate.

However, now that the government has formalized bitcoin mining, Venezuela’s share of the total hash rate is likely to increase.

What do you think of this latest move to regulate bitcoin mining in Venezuela? Tell us what you think in the comments section below.

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ASIC, Bitcoin, Bitcoin hashrate, Bitcoin trading volumes, Bitmain Antminers, Cambridge University, Energy Consumption, Joselit Ramirez, Latin America, Sunacrip, Venezuela bitcoin mining

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Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

Source: news.bitcoin.com

Author: Mining by Terence Zimwara


New Zealand digital asset exchange Dasset introduces Bitcoin SV trading pairs

New Zealand digital asset exchange Dasset introduces Bitcoin SV trading pairs

ZUG, Switzerland, Sept. 24, 2020 /PRNewswire/ — Dasset, the Auckland-based New Zealand digital asset exchange, today announces that it has officially introduced support for Bitcoin SV [BSV] on its platform. With immediate effect, BSV/NZD and BSV/BTC trading pairs are listed and available for use.

The move by Dasset – including the introduction of a fiat currency trading pair for BSV – comes as interest in Bitcoin SV continues to grow globally. The utility of the massively scaling Bitcoin SV blockchain is driving rapid uptake of the BSV digital currency worldwide, spurred by a fast-expanding ecosystem of applications and services, in addition to its ability to function as a fast and cost-effective payments rail (sending a BSV payment currently costs only 1/100 of a U.S. cent).

Founded in 2017, Dasset is New Zealand’s most advanced digital asset trading platform, serving retail, professional and institutional customers across New Zealand and Australia. As a supervised financial reporting entity, Dasset is registered as a Financial Service Provider in New Zealand. The company conducts due diligence on all onboarding customers and follows New Zealand rules and regulations. Dasset offers NZD fiat on/off-ramp via PoliPay or bank transfer.

Welcoming today’s announcement, Jimmy Nguyen, Founding President of Bitcoin Association – the global industry organisation which works to advance business on the Bitcoin SV blockchain – said:

“A key element in ensuring that the Bitcoin SV growth story continues across the globe is making the process of onboarding new users a fast and simple process. With the introduction of a new fiat on-ramp to buy and sell BSV at Dasset, that process just got easier for people across New Zealand and Australia, who now have another reputable, lawfully-registered service provider to use as an onboarding option into the Bitcoin SV ecosystem.”

Also speaking on the introduction of Bitcoin SV to Dasset, CEO Stephen Macaskill, said:

“Cryptocurrency has always been a battle of ideas. We recently listed Bitcoin SV to give customers the opportunity to discover, and ultimately decide, which crypto assets will best serve their digital future.”

To learn more about Bitcoin SV, who’s building on it and what it can do, register for the CoinGeek Live 2020 conference (New York + London Sept 30th – Oct 2nd) or sign-up for virtual access at www.coingeekconference.com.

About Bitcoin Association

Bitcoin Association is the Switzerland-based global industry organization that works to advance business on the Bitcoin SV blockchain. It brings together essential components of the Bitcoin SV ecosystem – enterprises, start-up ventures, developers, merchants, exchanges, service providers, blockchain transaction processors (miners), and others – working alongside them, as well as in a representative capacity, to drive further use of the Bitcoin SV blockchain and uptake of the BSV digital currency. 

The Association works to build a regulation-friendly ecosystem that fosters lawful conduct while facilitating innovation using all aspects of Bitcoin technology. More than a digital currency and blockchain, Bitcoin is also a network protocol; just like Internet protocol, it is the foundational rule set for an entire data network.  The Association supports use of the original Bitcoin protocol to operate the world’s single blockchain on Bitcoin SV.

Cision

View original content:http://www.prnewswire.com/news-releases/new-zealand-digital-asset-exchange-dasset-introduces-bitcoin-sv-trading-pairs-301137393.html

SOURCE Bitcoin SV

Source: news.yahoo.com


Mandatory KYC verification may contradict privacy laws in South Korea


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