Most developed countries in the world have regulations guiding the financial institutions and firms including cryptocurrency related operations in their jurisdiction, but this is not so in the case of South Korea, especially with relation to cryptocurrency. The Korean Bar Association (KBA) has requested that their government recognize the operations and existence of cryptocurrencies in their country, hereby establishing a legal architecture and composition for the blockchain and cryptocurrency sectors of their economy.
Making the announcement today 8th November in a news conference, the Korean Bar Association publicly advocated that their government construct laws and regulations structured to provide security for investors while supporting the local blockchain industry in the country as being done in other developed countries.
Reuters reported that the President of the Korean Bar Association, Kim Hyun said on behalf of all the legal practitioners that they urge the government to desist from nursing the negative rumors, propaganda, delays, etc. and enact bills to aid the establishment and development of the blockchain industry in order to prevent the adverse effect of cryptocurrencies taking a toll on its participants, investors and stakeholders. Hyun was quoted saying that;
“We urge the government to break away from negative perceptions and hesitation, and draw up bills to help develop the blockchain industry and prevent side effects involving cryptocurrencies.”
This notable lobbying act by the Korean Bar Association, which is a housing body for all domestic lawyers and law practitioners in the country, is coming as a result of an action by the South Korean government which specifically excluded the local blockchain industry and cryptocurrency exchanges the list of recognized and certified venture firms in the country putting the industry at risk of exploitation.
The Chairman of South Korea’s Financial Services Commission during a parliamentary meeting in October laid emphasis to the fact that the regulation is not at any time soon backing down from its decision to keep Initial Coin Offerings (ICOs) prohibited within the shores of the country. This persistence by the Financial Services Commission is ongoing while the South Korean lawmakers are yearning for the overturn of the ban on all crypto related activities in the country. They are requesting that proper regulation and laws are developed to serve as guidelines for all Initial Coin Offering as regulated financing method for startups and companies.
Among the most active markets in the world, local cryptocurrency trading in South Korea seems to be among the leading ones. South Korea also happens to be home to notable trading platforms like Bithumb and Upbit. Both of which are among the top ten cryptocurrency trading platforms by trading volume.
Choi Jong-Ku, the commissioner of the Financial Services Commission of South Korea, stressed that all cryptocurrency exchanges adhering to the norms which are Know Your Customer (KYC) and Anti Money Laundering (AML) would not face any challenges while conducting their crypto trading activities in the country.