South Korea’s Upbit and Bithumb warn over Litecoin privacy feature ByAli RazaPRO INVESTOR Updated: 24 May 2022 DisclosureWe sometimes use affiliate links in our content, when clicking on those we might receive a commission – at no extra cost to you. By using this website you agree to our terms and conditions and privacy policy. Join Our Telegram channel to stay up to date on breaking news coverage Litecoin implemented the MimbleWimble Extension Blocks (MWEB) recently to boost privacy within the network. The privacy-focused upgrade could be good news for developers and users of the Litecoin network, but it has spooked two of the leading exchanges in South Korea. Upbit and Bithumb spooked after Litecoin’s MWEB integration Bithumb and Upbit, two of the leading exchanges in South Korea, have issued a warning about Litecoin, one of the most popular cryptos. The two exchanges carry the majority of trading volumes in South Korea, and they have advised investors of the risks affiliated with the recently integrated privacy feature on Litecoin. The MimbleWimble upgrade allows users within the network to make “confidential transactions allowing them to send tokens while hiding the transaction data according to a report from Bithumb. Upbit’s statement also says that the feature encrypts transaction data. The two cryptocurrency exchanges further talked about Korea’s Act on the Reporting and Use of Specific Financial Transaction Information. This law mandates exchanges operating in South Korea to adopt Know Your Customer (KYC) and Anti-Money Laundering (AML) systems when people buy Litecoin and other cryptocurrencies. Buy Litecoin Now Your capital is at risk. The regulatory framework in South Korea is very strict. In the past, these exchanges have delisted cryptocurrencies after making these warnings. Other popular exchanges in the country, such as Coinone and Korbit, have not shared a similar statement. Litecoin integrates MimbleWimble upgrade Litecoin implemented the MimbleWimble upgrade. However, the upgrade was proposed two and a half years ago. The upgrade was released earlier this year after a vote by nodes approved the update and allowed network users to enjoy privacy features. MWEB upgrade was rolled on Litecoin at a block height of 2 million. MimbleWimble has been the most sought after upgrade within the Litecoin network. The developers believe that the upgrade could bring major benefits to the network. Besides boosting privacy, it will also integrate key performance improvements for the blockchain, which could see it record higher adoption. MimbleWimble compresses transaction data from the blocks and promotes discreet transactions via the Litecoin blockchain. While some users could be looking for this level of privacy, the upgrade could cause major regulatory concerns, given that regulatory frameworks in different jurisdictions now require people to comply with AML and KYC features. Litecoin is one of the oldest networks in the market. The network was launched in 2011, and it was one of the top competitors of Bitcoin. Litecoin is mainly used for transactional purposes, and it is the best crypto to invest in for those looking for a token with utility as a payment method. Litecoin is also seen as a testing net for Bitcoin, as seen with the SegWit upgrade. Some cryptocurrency community members have speculated that the MimbleWimble upgrade could be rolled into Bitcoin if it is a success on Litecoin. Read more: How to buy Cryptocurrencies How to buy Litecoin Lucky Block - Our Recommended Crypto of 2022 Our Rating New Crypto Games Platform Featured in Forbes, Nasdaq.com, Yahoo Finance LBLOCK Token Up 1000%+ From Presale Listed on Pancakeswap, LBank Free Tickets to Jackpot Prize Draws for Holders Passive Income Rewards - Play to Earn Utility 10,000 NFTs Minted in 2022 - Now on NFTLaunchpad.com $1 Million NFT Jackpot in May 2022 Worldwide Decentralized Competitions Visit Site Join Our Telegram channel to stay up to date on breaking news coverage