Korean Lawmakers Move To Control Cryptocurrency, Legalize ICOs

Lawmakers in South Korea, one of the world’s largest cryptocurrency trading markets, are planning to submit draft bills to legislate regulations for growing industry.

Reports from the Korea Times states that several lawmakers across different political fields are planning to hasten cryptocurrency controls that could possibly result to the lifting of the present ICO ban in the country. The drafts will be handed in during ‘an extraordinary session of the National Assembly from July 13 to 16’ to discuss the legal status of cryptocurrency and regulatory guidelines for crypto exchanges.

Notably, the report recommends that the submitted regulatory drafts are expected to play the role of a ‘catalyst’ in starting talks towards regulation and after the legislative process of turning bills into law.

Representative Park Yong-jin, a lawmaker and member of the country’s ruling Democratic Party, is probably the most leading politician insisting for regulations, with Rep. Chung Tae-ok of the primary opposition Liberty Party Korea (LPK) and Rep. Choung Byoung-gug of the Bareun Mirae Party, a minor opposition camp.

It was reported that Park suggested at least three new bills to develop a regulatory framework for cryptocurrencies regardless of earlier comparison of last year’s peak prices to Europe’s tulip main in the 17th century.

Rep.  Hong Eui-rak, also of the political camp in power, is notably driving for the legalization of ICOs after authorities released a ban on the radical new form of fundraising in September 2017.

Moreover, Rep. Song-Hee-Kyung of the opposition LPK party is planning to host a policy debate on the security framework at domestic cryptocurrency exchanges on July 19, in a year of striking security breaches and crimes at Korean exchanges. In June, domestic exchange Coinrail fell victim to a hack with a supposed 40 billion won ($37 million) in cryptocurrency stolen.  Shortly after, Seoul-based Bithumb stopped transactions following a theft of $30 million in cryptocurrency.

The suggested draft regulations correspond with an earlier set deadline by G20 nations that hope to develop a uniform regulatory framework for the cryptocurrency industry among member nations.


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