South Korea's financial authorities will inspect six major local banks over virtual accounts used for cryptocurrency exchanges.

The Financial Intelligence Unit(FIU) and the Financial Supervisory Service(FSS) said on Sunday that they will carry out joint inspections on six banks -- Woori Bank, Kookmin Bank, Shinhan Bank, NongHyup Bank, Industrial Bank of Korea and Korea Development Bank -- from Monday through Thursday. 

A senior official at the Financial Services Commission(FSC) said that the officials will carry out an intensive probe into the virtual accounts that the six banks have provided for cryptocurrency exchanges. 

The FIU and FSS officials plan to check whether the banks carried out their obligations to prevent money laundering in managing virtual accounts. 

As of December, the number of accounts related to cryptocurrency exchanges reached 111, with their combined deposits estimated at two trillion won. Each account is presumed to have generated up to millions of virtual accounts.