Upbit, the largest crypto exchange in South Korea, will no longer allow their unverified users to withdraw funds

Upbit, the largest crypto exchange in South Korea, will no longer allow their unverified users to withdraw funds

Starting from today, Upbit, the major South Korean crypto exchange, will being imposing restrictions on their unverified users.  

Upbit, the largest crypto exchange in South Korea, will no longer allow their unverified users to withdraw funds
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South Korea’s biggest cryptocurrencies exchange, Upbit announced new changes in their client verification on Saturday to comply with country’s mandated Anti-Money Laundering (AML) regulations.

According to the announcement, beginning from Wednesday, Oct. 6, Upbit will limit the services for their unverified users from this week, restricting them from exchanging more than 1 million Korean won ($850) at a time.

Upbit said that upon customer proper verification, the 1 million won restriction will be lifted. The users submitting orders for less than 1 million won are able to complete their verification at any time.

Initially, Upbit is intending to impose lighter restrictions for a week and subsequently planning to impose harder restrictions to their unverified users. The firm said that it will hold all the trading, deposits and withdrawals services from 13th of October to all its existing users who have not completed customer verification. But the company also mentioned that all the restrictions will be lifted once the user verification is complete.

According to the new rules, new users who roll up after Wednesday will be able to deposit & withdraw only after completion of their complete verification process. The new rule also recommends for processing verification through K Bank, Upbit’s official fiat currency providing partner.

“Withdrawal procedures to other banks will be notified subsequently through a separate notice.”

– notification

Upbit which is the largest crypto exchange platform in South Korea, along with Bithumb, Korbit & Coinone together holds more than 80% of total crypto market in the country.

This new AML verification requirement rule in South Korea requires both local and foreign exchanges to furnish real-name accounts through local banks.

The Financial Services Commission of South Korea had already set a deadline of 24th September for all the operating crypto exchanges in the country to apply for an official operating license.

Following the announcement, many large crypto exchanges including Binance, the largest crypto exchanges in the world has already stopped trading KRW pairings and terminated Korean language support from their websites.

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