According to reports, two large Korean banks have announced this week that they will stop their "credit card points exchange for bitcoin" services. Shinhan Bank will stop this service on January 15 and the National Bank of Korea will start on January 22. According to the media, the two banks have a partnership with the cryptocurrency exchange Coinplug, and their credit card points can be exchanged for Bitcoin on Coinplug. Shinhan Bank’s rewards department is called “New Korea Fan Clubâ€, allowing customers to use New Korea’s credit card to accumulate and use points. Points are earned when a customer uses a credit card in seven branches of Shinhan Bank. The National Bank of Korea also has a similar rewards department, and its services also allow customers to accumulate points and spend their credit cards through their bank's seven companies. The Korea Times stated in the report that “customers can earn bonus points through the consumption of these seven companies and use the points directly in stores where they can use their credit cards, just like using cash.†Both banks are working with Coinplug. Cooperation to allow their credit card points to be redeemed for bitcoin. Earlier this month, the South Korean government announced emergency regulatory measures for cryptocurrencies. According to the Yonhap News Agency, Choi Hong-sik, head of the Korea Financial Supervisory Authority, said, “We will prohibit financial institutions from directly entering the virtual currency market or engaging in related transactions.†Since he indicated that the government wants to prohibit financial services companies from trading or opening directly in the cryptocurrency market. After the store, banks began to stop their services related to cryptocurrencies one by one. Many large banks have stopped issuing virtual currency accounts for such transactions to cryptocurrency exchanges. In September, a service that allowed the use of credit cards to purchase cryptocurrencies at Bithumb, the largest bitcoin exchange in the region, was suspended. At the time, South Korean financial authorities pointed out that "this service may be exploited by criminals using fake credit cards."
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South Korean government announces emergency regulatory measures against cryptocurrency
Large Korean banks stay away from Bitcoin