South Korean Crypto Exchange Bithumb Bans Employees from Trading Bitcoin

Jul 4, 2021 0 comments

One of the largest South Korean cryptocurrency exchanges, in terms of trade volume, Bithumb, has announced that employees are banned from trading bitcoin on the exchange platform. The company’s chief executive officer revealed the decision in a Bithumb newsletter focused on improving “transaction transparency.”

Bithumb Bans Employee Bitcoin Trading – Will Monitor for Individuals Who Don’t Comply

The cryptocurrency trading platform Bithumb has revealed that employees are now restricted from leveraging the exchange. This means that Bithumb employees can no longer obtain an internal account on the South Korean cryptocurrency exchange.

Bithumb’s chief executive officer wrote in the newsletter that the move is focused on improving “transaction transparency.” Additionally, leaking undisclosed information and participating in unfair trade practices and market price manipulation is also prohibited in order to “ensure transparent operation.”

The South Korean cryptocurrency exchange further says that “Bithumb is continuously strengthening compliance management and internal control by providing training to acquire the International Standard Compliance Management System certification.”

According to the announcement, Bithumb’s management told employees in June that by July: “Bithumb trading accounts for investment purposes by employees” would be banned indefinitely.

The announcement explains that Bithumb employees have taken an oath to withdraw last month and to stop leveraging the trading platform. “From this month on, we will strictly manage whether or not employees comply with the regulations through continuous monitoring, self-audits, and internal reporting system operations.”

The employee ban follows the recent closed-door meeting between South Korean regulators and 20 digital currency exchanges. The meeting was after the Financial Supervisory Service of South Korea explained that it would oversee South Korea’s cryptocurrency market.

In addition to the increased regulations, officials have been concerned about South Korea’s ‘kimchi premium,’ as crypto assets have seen higher fiat values in the Korean won in comparison to the global exchange rate.

On Friday morning at 11 a.m. (EDT) the price of bitcoin (BTC) exchanged hands for $33,529 per unit. However, during the same time frame on Bithumb, the price of BTC is $1,140 higher than the global average at $34,669.

At the time of writing, Bithumb has over $1 billion in global trade volume or 31,499 BTC during the last 24 hours.

Sourced from bitcoin.com.

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