News: Cryptocurrencies are integrated into Korea

On October 8, a public press conference was held in the highest legislative body of the Republic of Korea, at which, among other things, the issue of cryptocurrency and blockchain systems were addressed.

The Head of the Korean Bar Association Kim Huynh appealed to the representatives of the country's parliament with a request to develop and introduce a legislative framework for cryptocurrencies and blockchain systems. According to him, the government has an unreasonably negative attitude to this sphere. In this regard, he urged to adapt the laws of Korea for the successful functioning of the industry.

It is important to mention that although cryptocurrency is not prohibited, South Korea rather tightly regulates the cryptocurrency industry and the blockchain system. Representatives of the authorities are concerned that transactions in such confidential systems will be accompanied by tax evasion, unlawful financial transactions, and legalization of black money. The country has a ban on trade with foreign nationals on domestic exchanges. Due to this fact, local traders are forced to open bank accounts and carry out the necessary operations through them.

According to experts, this has a negative impact on Korea’s position in the global cryptocurrency market. Blockchain users and cryptocurrency investors are dissatisfied with this situation. The representative of the Bar Association also noted at the press conference, that this attitude negatively influence the entire market and can lead to side effects.
 It should be mentioned that the Korean Parliament has demonstrated a trend towards the legalization of crowdsale, which has been banned from the previous year. Some deputies concluded that the ban hinders the flow of cryptocurrency investment.