The South Korean Bithumb Exchange may resume registration of new users in the coming days. As reported by the local agency Yonhap, this can happen after the signing of an agreement with Nonghyup Bank, which is scheduled for August 30. The agreement will allow traders to open personal virtual bank accounts to trade on crypto exchange.
Bithumb does not register new users since July 31. The platform has suspended this opportunity, stating that it is necessary to improve the service. The Korean media said that in reality, the reason is the absence of agreements with banks. At that time, Bithumb was the only major exchange in the country operating without an agreement to open accounts. Nonghyup Bank back then refused to sign the contract because "Bithumb still has problems in protecting consumers and information and preventing money laundering."
In June Bithumb has suffered a hacker attack in which it lost around $31 million. Later, thanks to financial injections, the amount was reduced to $17 million. On July 18 the platform has resumed deposits and withdrawals, and in early August, has updated the security system and the newly opened output of 10 cryptocurrencies. Last week, the site was included in the list compiled by the South Korean regulators as "relatively safe".
WHY IS IT IMPORTANT?
- Since January, the anonymous trade in cryptocurrencies through virtual bank accounts has been banned in South Korea. The exchanges are obliged to renew agreements with banks every six months.
- Bithumb is South Korea's largest crypto exchange and the fifth largest in the world. Its daily trading volume is reaching $500 thousand.