Top Officials Agrees South Korea Should Review Crypto Rules

Wilfred Michael 

Wilfred Michael

News reporter

05 April 2019,
11:34
Top Officials Agrees South Korea Should Review Crypto Rules

South Korea may soon soften its stance toward cryptocurrencies and projects conducting ICOs according to a report by local news media, ZDNet Korea.

Speaking at ongoing Deconomy Conference in Seoul this week, Song-Kyong, the co-president of the 4th Industry Forum of the country's National Assembly as well as other top officials hinted the possible amendment of local cryptocurrency laws.

Song-Kyong specifically noted that the country's stance towards the use of cryptocurrencies is hindering the development of the local ecosystem, noting that,

"No matter how innovative the technology is, it will not be useful unless the market in which the technology can operate works."

According to him, the current situation is one where the government has already misunderstood cryptocurrencies and tried to apply real currency standards, thus resulting in a lot of problems.

The industry on its part doesn't stand still while waiting for the government's sandbox authorization, but tries its hand at some things despite being in a “box,” Song-Kyong explained

Another official, Jung Byung-kook, the chairman of the 4th Industry Special Committee of the National Assembly spoke about the importance of creating an ecosystem where crypto participants, the government and relevant financial institutions could come together to define ethical standards for the new industry.

Jung further highlighted that the government should be wary of making fast rules since the technology is still at an early stage and any wrong system or law would significantly affect the industry.

As we've noted in earlier reports, South Korea enjoys a relatively peaceful cryptocurrency ecosystem that is only disturbed by the ban on Initial Coin Offerings (ICOs) since 2017.

Regarding that ban, we reported in January that the authorities have decided not to reverse it because offshore ICO projects were secretly raising money from South Korean nationals despite orders not to do so.

 

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