The Ministry of Justice of South Korea will start tracking cryptocurrencies

Representatives of the Ministry of Justice of South Korea said that they were going to launch a “Virtual Currency Tracking System”. According to them, it will be used in tracking transfers, extracting data related to these transactions, checking the sources of funds with which transactions are carried out, and so on. Sources, by the way, will be checked before and after the transaction.

The introduction of cryptocurrency asset monitoring will help to improve the monitoring of transfers in order to protect people from criminal activities in the future and to levy taxes on people.

The South Korean authorities did not give an exact date for the launch of such a system, however, according to their plans, monitoring will start in the first half of 2023. The Ministry of South Korea reports that at the moment experts are working hard on the technical aspects of the new monitoring system. After the launch of the “Virtual Currency Tracking System”, the Ministry of Justice is going to continue working on it. In the second half of 2023, the developers will continue to actively work and improve the new crypto tracking mechanism.

A spokesman for the South Korean Ministry of Justice said that with the improvement of cybercrime and the improvement of their methods, the authorities should in turn make every effort to improve the fight against criminals. They have plans to build a unique criminal justice system for the digital asset sector that will meet international standards.”

It is noteworthy that relatively recently, the South Korean police entered into contracts with the five largest local cryptocurrency exchanges, including such as Bithumb, Upbit and others. Cooperation with companies should help the South Korean police conduct investigations related to digital assets more effectively. The decision to collaborate with crypto exchanges was made as part of a program to create a safe trading environment for investors in digital assets.

The name of the Bithumb exchange has surfaced in the media not only because of their cooperation with the South Korean police, but also because of other cases. Recently, the South Korean Supreme Court issued a verdict on Bithumb, according to which the exchange will have to reimburse the losses to its customers, which they suffered due to an hour and a half failure that appeared on November 12, 2017. 132 crypto investors will receive compensation, and the amount of damages will be from $6,000 to $6,400.