• The South Korean Ministry of Justice announced the introduction of a “virtual currency tracking system” to curb money laundering and recovery of proceeds of crime.
• The system will enhance the monitoring of digital transactions, retrieve necessary information and confirm the sources before completing the transactions.
• In October 2022, the South Korean police signed an agreement with the top five local cryptocurrency exchanges to curb crimes related to crypto assets.

The South Korean Ministry of Justice recently announced their intentions to implement a “virtual currency tracking system” in order to combat money laundering and aid in the recovery of proceeds of crime. The system will be implemented in the first half of 2023, and will feature enhanced monitoring of digital transactions, retrieval of necessary information, and confirmation of sources before completion of the transactions.

In October 2022, the South Korean police signed a deal with the country’s top five local cryptocurrency exchanges, in order to combat crimes related to crypto assets. This agreement provides investigators with a cordial relationship, and allows for a smooth flow of information between the two parties. The South Korean Ministry of Justice also plans to rework and upgrade their entire scientific investigation platform, in order to better combat increasingly sophisticated crimes.

The “virtual currency tracking system” is a necessary measure for the country to take, in order to ensure the safety of their citizens and reduce the number of crimes related to crypto assets. By introducing this system, the government hopes to make it easier to trace and monitor digital transactions, as well as retrieve any necessary information. In addition, the system will help to confirm the sources of these transactions before they are completed, further helping to reduce the risk of money laundering and other criminal activities.

The Ministry of Justice in South Korea has made it clear that the implementation of the “virtual currency tracking system” is a priority in the first half of 2023. It is a necessary step in order to ensure the safety of their citizens and protect them from the risks of money laundering and other criminal activities.