Bithumb Establishes "Proactive Block on Transactions Under Deceased Persons' Names" System

Bithumb has newly established a "Proactive Block on Transactions Under Deceased Persons' Names" system in response to the recent rise in non-face-to-face financial crimes.

Due to the nature of non-face-to-face financial transactions, there have been concerns that authentication methods such as ID cards and mobile phones may be transferred to family members or acquaintances after the user’s death, allowing transactions to continue or be misused for illegal activities. In particular, blocking financial transactions under deceased persons’ names has recently been emphasized by supervisory authorities as a measure to prevent crimes affecting everyday life, and there is growing public attention on the associated risks.

In response, Bithumb has established a system in collaboration with credit rating agencies to immediately block login access to accounts once information on a user’s death is confirmed. The system also conducts a detailed review of recent transaction and transfer histories to determine if any suspicious activity has occurred. If necessary, the process includes submitting a Suspicious Transaction Report (STR) to the Financial Intelligence Unit (FIU), making this an effective measure to protect customer assets.

Bithumb expects that the introduction of this system will proactively prevent the illegal use of accounts belonging to deceased individuals and strengthen control over vulnerable points, thereby helping to prevent financial crimes.

A Bithumb representative stated, "We are continuously strengthening our internal controls to minimize blind spots that may arise in a non-face-to-face transaction environment," adding, "We will continue to advance our management system with a focus on user protection going forward."

This content was produced with the assistance of AI translation services.