South Korean government’s skepticism on the cryptocurrency phenomenon has taken a new form as reports emerge that the government is looking to ban all digital currencies as well as prominent exchanges.

Reuters reported that two of the country’s largest exchanges Coinone and Bithumb were raided this week by police and tax agencies on allegations of tax evasion.

Additionally, CoinDesk reported that the central bank, Bank of Korea has established a special task force to study to the effects of cryptocurrency on the country’s financial system.

Not just this, but there are also reports that the Financial Supervisory Service (FSS) is inspecting six South Korean banks including Woori Bank, Kookmin Bank, Shinhan Bank, NongHyup Bank, Industrial Bank of Korea and Korea Development Bank, in a probe regarding bitcoin trading this week.

Last month, South Korean regulators announced it would close anonymous cryptocurrency accounts in January, following the hacking of South Korean cryptocurrency exchange.

Read more at CoinDesk and Reuters.  

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