CoinMarketCap excludes Korean data for cryptocurrency trading analysis

However, after the Justice Ministry spoke of an impending ban (and, indeed, after the worldwide market took a huge coinciding dip), local reports from South Korea's Ministry of Strategy and Finance (MOSF, a key member of the crypto task force) said that the MOSF does not agree with the "premature statement of the Ministry of Justice about a potential cryptocurrency trading ban".

News of the bill comes from S. Korea Justice Minister Park Sang-ki.

S. Korea is working on a bill that may ban trading of cryptocurrencies.

'South Korea has always had a premium because it's very hard to get cash out of the country, ' said Dwyer.

A series of measures have failed to curb overheated virtual currency speculation in the country and Mr Park said it would be "devastating if the bubble bursts".

In a further sign of the gap between the two markets, Ethereum Classic's price went up 7 percent at South Korean exchanges, while the altcoin dropped 10 percent in value in the global market.

Investors flooded the presidential Blue House website with hundreds of online petitions against the shutdown, which was swiftly reversed. Of the top 40 cryptocurrencies, 31 were down, including bitcoin and Ethereum.

Choi said that the government is ramping up monitoring efforts, and is poised to hold accountable banks for their duty to prevent money laundering.

According to another Reuters report over the intensifying moves against Korea's bitcoin exchanges, Bithumb and Coinone were raided by police and tax office officials on yesterday and today. "We have nothing further to say at this moment", she told AFP.

But the MSF disagreed, saying, "We do not share the same views as the Ministry of Justice on a potential cryptocurrency exchange ban".

Last month Seoul banned its financial firms from dealing in virtual currencies.

Prices of the world's largest cryptocurrencies appeared to take some major hits on Monday morning after, arguably the most popular and important site for cryptocurrency pricing data, opted to remove South Korean exchanges from its data sources.

A Chinese ban on virtual coin transactions in yuan ended up driving many investors underground, exposing them to greater risks, he said.

  • Joey Payne