South Korea's courts ruled that commercial banks suspending account services for cryptocurrency exchanges is illegal
Regarding NH Nonghyup Bank's Measures toward Coinis, a Cryptocurrency Exchange
In September, NH Nonghyup Bank, one of South Korea’s largest commercial banks, stopped providing deposit and withdrawal services to the cryptocurrency exchange Coinis. Coinis filed a lawsuit with the Seoul Central District Court seeking the restoration of relations and reversal of the deposit suspension. At the end of October, the Central District Court ruled that the bank’s measures were unfair and unlawful.
Originally, Nonghyup Bank claimed that it had halted banking services based on anti-money laundering guidelines issued by the financial regulator, the Financial Services Commission (FSC).
According to the plaintiff’s attorney, since the parties had already signed a business contract, the bank’s decision to discontinue banking services to the cryptocurrency trading platform was argued to constitute a breach of contract, unless there was sufficient evidence or reason that constitutes a violation.
