Revised Cryptocurrency Regulations in South Korea to Motivate Aspiring Projects
Currently, things are not so good in Asia’s cryptocurrency space. This is such that BitMEX Japan stopped operating in recent times due to the newly amended cryptocurrency regulations in the Japan Payment Services Act.
Likewise, the termination of Bitberry (in South Korea) was because of blockchain industry uncertainties. Singapore’s authority brought cryptocurrency under AML rules in February, thereby leading the cryptocurrency payment provider CoinPip to close down.
Recently, Min Kim of ICON Foundation (based in South Korea) featured in a podcast. He discussed cryptocurrency space in South Korea after the legalization of cryptocurrency in March. According to Kim, the country’s financial authority is yet to offer cryptocurrency exchanges in the country a well-defined path, and it is bringing about a lot of confusion in the space.
He said the confusion with cryptos in the country started from the outset but the legalization of cryptos will bring on rules for exchanges, especially KYC and consumer protection. Kim talked about cryptocurrency taxes.
Recently, the South Korea-based wallet provider Childly carried out a survey regarding crypto users’ perspective on cryptocurrency taxation. It showed that about 67 percent of the participants (5,750) from across the world agree with cryptocurrency taxation. Generally, the survey revealed the cryptocurrency community’s warmth towards it.
Kim shared his opinion regarding the new regulations for cryptocurrency in the pipeline in the country. He believes that the government will provide definite regulations good for the industry. He said the laying of definite paths will assist new projects such that there will be no need of setting up entities outside of the country in expectation of well-defined guidelines.
The country is currently committed to following regulations established by bodies like the FATF, until the formulation and enforcement of more local regulations.