Huobi Korea acquires key certification amid South Korea’s new crypto rules
Huobi Korea, South Korean subsidiary of crypto exchange platform Huobi Global, has acquired a major certification to help it comply with local regulations. On 18 January 2021, Korea Internet and Security Agency or KISA granted the information security management system (ISMS) certification to the digital asset platform. Huobi Korea will now be able to make use of a comprehensive management system through the certification for managing the physical security and safety of customers’ data, assets and information.
On 3 November 2020, the Financial Services Commission (FCA) of South Korea issued a Special Payment Act that requires crypto entities to comply better with Know Your Customer and anti-money laundering policies.
From March 2021 onward, if the ‘Enforcement Decree’ of the Special Payment Act takes effect, it will mandate all “virtual asset services providers” to reveal their clients’ real names after they cross check this data with their social security numbers.
Reports stated that these new requirements would infringe on existing regulations, which originally stated that such entities cannot legally ask their customers to provide social security numbers.
Nevertheless, the crypto exchange has been a step ahead as this new certification, which will allow Huobi Korea to ensure compliance with the new regulation in South Korea. ISMS certification will provide the platform with technical information to better protect and manage customer assets and information.
According to an official statement, Huobi Korea said that the platform is now “the first” global virtual asset exchange to be certified by ISMS. It further claimed that the certification is highly evaluated for its safety and excellence.
Meanwhile, the parent company, Huobi had been working on its expansion plans last year. On 27 November 2020, an independent trading platform licensed under the Huobi brand, Huobi Labuan, launched in Malaysia. The crypto-exchange for the local market is fully regulated and offers trading services for both spot and derivatives markets.