South Korean crypto exchange Coinone has appear it plans to no longer let withdrawals of tokens to unverified external wallets starting in January.

In a Wed announcement, Coinone said users would have from December. xxx to January. 23 to annals their external wallets at the exchange, after which fourth dimension it would restrict withdrawals. The exchange specified that crypto users could only register their own wallets, and the verification process "may have some time" and could change in the future.

According to Coinone, it planned to verify users' names and resident registration numbers — issued to all residents of Republic of korea — to ensure crypto transactions were "not used for illegal activities such as money laundering." Customers at the exchange probable won't be able to withdraw funds to wallets without Know Your Customer, or KYC, safeguards. This restriction also applies to the popular hardware wallet Ledger.

In March, the South Korean government implemented a previously passed bill that requires local crypto exchanges to meet requirements for a real-proper noun account and ISMS authentication, as well as written report on their operations within half dozen months. Crypto users in the country will also see the implementation of a taxation rule scheduled to get into event in Jan — the rule would impose capital gains taxes on all crypto trading profits of more than roughly $2,300.

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Many exchanges, including Bithumb, have since appear restrictions and stronger KYC and Anti-Money Laundering, or AML, checks in response to Korean lawmakers' button to regulate crypto. However, Coinone will probable all the same accept wallets offered by exchanges already in compliance with KYC checks, which would include those from FTX and Binance.