Bithumb suspended creating new account, cryptocurrency rose slightly

Cryptocurrencies rose and fell, Bithumb, one of the largest cryptocurrency exchange in Korea, has suspended opening new accounts due to problems with its cooperation with the local banks in South Korea.

As of 03:43am EST, bitcoin price on Bitfinex exchange rose 1.36% over the past 24 hours to $7,670.5.

Ethereum, rose 0.02% on Bitfinex to $421.74.

Ripple on Poloniex rose 2.09% to $0.44408.

Litecoin rose 0.28% to $77.72.

According to reports, due to improper business practices such as tax evasion, the company was unable to renew the contract with the Korean bank, thus suspending the opening of the new account.

Korean law requires cryptocurrency exchanges to work with banks to implement real-name systems for newly opened accounts to prevent money laundering.

The Korea Agricultural Cooperative Bank, which refused to extend the contract with Bithumb, said, "We decided not to renew Because Bithumb still has problems in protecting consumers and information and preventing money laundering."

In addition, the European Union's blockchain consulting agency released its first blockchain industry analysis report on Wednesday. The report warns that EU legal and regulatory uncertainty may hinder the development of cryptocurrencies and the EU's leading role in innovation.

The agency said in the report, “Entrepreneurs worry that after investing heavily in products, they find that they are not in compliance with regulations and may expose them to financial or even criminal penalties. This is a serious problem. ”

On the other hand, the United States also released a report on the blockchain issue earlier this week. The report highlights government support for innovation and government regulation of cryptocurrencies.

The US Treasury Department said in the report, "The Ministry of Finance supports and encourages the introduction of new business models... the pursuit of innovative technologies to reduce costs, bring more results to customers, and increase access to credit and other services."