Bithumb Exchange Partners with Chainalysis to Comply with New South Korean Crypto Regulations

News / 11.03.2020

The blockchain analytic company, Chainalysis has recently announced the successful deployment of its investigations solution, Chainalysis Reactor, with Bithumb Exchange.

The Chainalysis Reactor is an investigation software that links crypto transactions to real-world entities. This feature enables crypto businesses and law enforcement agencies to tackle criminal activities such as fraud and money laundering on the blockchain.

Through this partnership, Bithumb will be using the Chainalysis Reactor to investigate suspicious activities on its platform. This Chainalysis Reactor will also enable Bithumb to establish a more secure, robust platform for its users.

The announcement follows the South Korean National Assembly’s vote last week in favor of amending the Special Financial Transactions Information Act. This amendment will create a proper framework for the South Korean crypto industry.

According to the Chief Revenue Officer of Chainalysis, Jason Bonds, the company is committed to helping its clients to investigate all kinds of illicit activities, and also establish long-term regulatory compliance. He said as crypto use in South Korea continues to grow, new regulations such as this will make blockchain analysis solutions like Chainalysis crucial for compliance.

SungMi Lee, Head of Compliance at Bithumb also said they are confident to have partnered with the industry leading investigation software and professional guidance like Chainalysis. He added that, the exchange anticipates further updates following last week’s vote which has made it possible for them to have support available in their local language.

Featured image courtesy of Shutterstock. Source: Cryptopress.

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Sudarshan M is a long time crypto-enthusiast. Pulled in by bitcoin early on, it did not take long for Sudarshan to divert all of his academic attention from business studies to blockchain by doing his Masters and eventually pursuing his PhD in the subject.