A recent MimbleWimble privacy-focused upgrade to the Litecoin (LTC) blockchain has prompted two of Korea’s largest cryptocurrency exchanges to issue investment warnings about the fifth largest cryptocurrency.
Bithumb and Upbit, which together account for most of the exchange volume in South Korea, issued statements Monday advising investors about the risks of the privacy upgrade. Litecoin’s use of privacy – oriented Mimblewimble technology allows users to perform “secret transactions”, allowing them to send signals while hiding transaction data according to Bithumb. In addition to this, Upbit issued a similar statement.
Both exchanges cited the Korean Financial Transaction Reporting and Use of Information Act, a law that requires cryptocurrency exchanges to implement customer notification (KYC) and anti-trust money laundering (AML) systems.
Korean exchanges tend to remove cryptocurrencies from the listing after issuing such warnings. The two major South Korean exchanges, Korbit and Coinone, have not yet made a statement.
“You’re a wizard, Harry.”
Mimblewimble is not only a language-binding spelling used in the magic series, but it is also a privacy-oriented decentralized protocol that structures and stores transactions on the blockchain. https://t.co/XCpNlb5AiD
– Cointelegraph (@Cointelegraph) November 22, 2021
“You’re a magician, Harry.”
Mimblewimble is not only a language spell used in the magic series, but it is also a privacy – oriented decentralized protocol that structures and stores transactions on the blockchain. https://t.co/XCpNlb5AiD
– Cointelegraph (@Cointelegraph) November 22, 2021
The MimbleWimble upgrade concept was first proposed almost two and a half years ago. The new upgrade was released earlier this year after the majority of nodes approved the MimbleWimble Update (MWEB), and will be able to interact with MWEB’s new privacy features. It was completed at a height of 2 million blocks of Litecoin.
Related: Litecoin finally releases its major Mimblewimble update
The MimbleWimble Litecoin upgrade was the most anticipated cryptocurrency update. MWEB not only adds new privacy features for LTC users, but also incorporates key blockchain performance enhancements. MWEB compresses unnecessary transaction data from blocks, enabling discrete transactions on Litecoin blockchain.
Litecoin was created in 2011 as an early competitor to Bitcoin (BTC). According to CoinMarketCap, it is the 18th most valuable cryptocurrency with a market cap of over $ 5 billion.
