South Korea’s Monetary Regulator Rejects ICO’s Assertions and Claims they are Uncertain
South Korea’s watchdog refuses to license ICO’s because of the controversies surrounding the digital money. The regulator believes that they contain many uncertainties.
Choi Jong-ku appeared before the parliamentary audit gathering and gave his opinion of this matter. He is the current chairperson of FSC.
Many stakeholders want the government to permit issuance of ICO’s. Uncertainties regarding this issue can result to fallouts in future. Moreover, the state has some reservations about ICO offer.Jong-ku revealed that they are eager to endorse blockchain. However, it disclosed it will uphold its strict regulations towards crypto exchanges. The main reason is to eliminate fraud in this sector.
In September, Korea imposed an injunction on ICO’s to protect the interest of shareholders. China followed a similar move to regulate ICO’s. With time, it banned these activities in this nation. China has forcefully stopped individuals from participating in this market. South Korea still remains tolerant on ICO’s.
South Korea Discards ICOs within its Jurisdiction
Recently, shareholders protested the crypto ban. Thousands of individuals are against sanctions. Jong-ku surprised many individuals when he made these comments. The nation seems to have softened their position on ICO’s and crypto exchanges. Many individuals thought that this business should be revived in future.Therefore, government was evaluating these regulations. It is because there was a need to overturn prohibition on ICO transaction. This is because of increasing demand for these products.
Such announcement can lead to tension and confusion among all the industry players. It will also leave the investors in a dilemma since they might not know what to do.
Leading blockchain in Korea advised government to allow ICOs to promote economic growth in Korea. Such a step can lead to economic growth in this nation.
South Korea is not enthusiastic on crypto. FSC announced its intention of introducing rules to control trade.
While the nation is not happy about this move, it wants to establish a digital currency section. The primary purpose is establishing a better blockchain section. It helps in introducing policymaking initiatives tied to the industry.
In July, it was reported that the FSC was establishing a high-class blockchain division. The aim is to establish guidelines that can assist in improving this sector.
FSC suggests that a reshuffle is expected in future to defend welfares of investors. It wants to react to monetary invention. This is because expertise continues to change with time. This nation has been urged to embrace crypto business. The entity pleaded with state officials to decrease rules to enable more businesses to join the industry.