The National Police Agency of South Korea will meet with Binance and the top five cryptocurrency exchanges in South Korea to discuss plans to implement a system with real-time wallet address monitoring and freeze funds capabilities.
Local news outlets reported that the National Police Agency would hold a virtual asset exchange working meeting with Binance and the top five cryptocurrency exchanges in South Korea (Upbit, Bithumb, Coinone, Korbit, and Gopax) on May 30.
The agency desires to implement a system for real-time surveillance of wallet addresses as part of a criminal investigation and to request the freezing of funds on Binance.
Binance acquired a majority stake in Gopax earlier this year to re-enter the South Korean cryptocurrency market. The largest cryptocurrency exchange in the world, Binance, has a staff that monitors and reports criminal activity to law enforcement.
Binance provided government agencies training to combat crypto-related crimes and make the exchange compliant with regulators.
National Police Agency entered into business agreements with the top five crypto exchanges in October to facilitate a confirmation system for virtual asset exchanges.
When the police search for the wallet address under investigation, the exchange is notified that it is managed by the police among the five largest exchanges.
As of May 2023, 2086, investigators are using the system, according to reports. The agency intends to expand the system to include all 36 domestic cryptocurrency exchanges.
South Korea Strengthens Crypto Supervision
South Korea recently enacted the Kim Nam-guk Prevention Law to require government officials to disclose their crypto holdings. Additionally, the agencies utilize blockchain analytics tools to prevent crypto money laundering and criminal activity.
The Financial Supervisory Service will increase the present workforce of its three investigation departments from 70 to 95 and create a special investigation team, information collection task force, and digital investigation response team.
