Crypto Regulation In South Korea Under Scrutiny Following Gruesome Murder Case
18 May 2023 - 11:07PM
NEWSBTC
Crypto regulation is gaining momentum in South Korea as lawmakers
seek to impose stricter rules on digital assets in response to a
shocking murder case linked to cryptocurrency. In a tragic
incident reported by Bloomberg, a Korean woman was kidnapped and
subsequently killed in what appears to be a dispute arising from
losses related to crypto. The gravity of the crime, which
reportedly took place late March, has placed the spotlight on the
efforts of lawmakers to expedite the country’s inaugural standalone
crypto bill, which may soon undergo a parliamentary vote,
potentially as early as this month. The incident has
underscored the need for comprehensive regulatory measures to
address the risks and challenges associated with the burgeoning
crypto industry. Related Reading: Conflux Network Partners With
China Telecom For Blockchain, SIM Project – Details On Focus:
Virtual Asset User Protection Bill This event has prompted
lawmakers to accelerate the passage of the nation’s inaugural
standalone crypto bill, known as the Virtual Asset User Protection
Bill, which consolidates 19 different crypto-related measures into
a single comprehensive legislation. A draft version of the bill,
obtained by Bloomberg, reveals that it aims to establish precise
legal definitions for virtual assets and introduce penalties for
offenses such as insider trading and market manipulation.
Furthermore, the proposed legislation seeks to grant the Financial
Services Commission in South Korea the authority to supervise
cryptocurrency companies and oversee the custody of digital assets.
Different Regulatory Paths For Crypto, Securities Tokens Under the
new rules, cryptocurrencies like Bitcoin will be subject to the
proposed regulations, while tokens categorized as securities by the
government will continue to be governed by existing capital-markets
laws. By establishing clear guidelines for digital assets,
South Korea aims to fortify the resilience of the crypto industry
and protect investors from potential risks. The bill’s provision
for mandatory insurance coverage aims to provide a safety net for
digital asset firms, shielding them from financial losses in the
event of cyberattacks or breaches. Additionally, the stricter rules
on reserve funds and account keeping seek to ensure greater
transparency and accountability within the cryptocurrency
ecosystem. BTCUSD slightly above the crucial $27K region. Chart:
TradingView.com Related Reading: PEPE Outperforms Bitcoin In Social
Media Buzz, Triggers Bullish Run For Frog Coin The introduction of
the Virtual Asset User Protection Bill comes at a crucial moment
for South Korea as the nation grapples with growing apprehension
surrounding the crypto industry. Recent events, including the
financial crimes committed by Do Kwon, co-founder and CEO of
Singapore-based Terraform Labs, and the collapse of the Terra
ecosystem, have heightened concerns and shed light on the urgent
need for robust regulatory measures. -Featured image from
Showmetech
Conflux (COIN:CFXUSD)
Historical Stock Chart
From Dec 2024 to Jan 2025
Conflux (COIN:CFXUSD)
Historical Stock Chart
From Jan 2024 to Jan 2025