By opting for such tough measures, Shinhan Bank hopes to prove that it is not aiding financial criminals in any manner as there are concerns about a strong rise in number of forgeries involving cryptocurrency exchanges.
Later this month, the bank hopes to incorporate an artificial intelligence based monitoring system that employs deep learning to pinpoint illegal trades quickly and precisely.
Shinhan Bank’s spokesperson had the following to say regarding the plan to wipe out financial fraud:
“We have set up a comprehensive plan for the elimination of telecommunication and financial fraud… We will continue to implement preventive measures so that customers will not be harmed in the future.”
The tightening of rules has happened because several South Korean exchanges have fallen victim to hacking in recent past, including Bithumb which lost over three million EOS, worth roughly $17.60 million, from a hot wallet. Last summer, the exchange lost a mix of 11 cryptocurrencies, worth $17 million, mainly comprising of Ether (ETH) and Bitcoin (BTC).