South Korea’s financial supervisory service will lead government efforts to oversee the country’s growing cryptocurrency market. The agency is tasked with a lengthy discussion over which Korean regulators should be responsible for the industry.
The Financial Supervisory Service takes responsibility for the crypto sector in Korea
The Korean Herald said in an article published this weekend that it took the government months to decide who would monitor the cryptocurrency market. The executive power in Seoul announced on Friday that the task had been assigned to the Financial Supervisory Service (FSS), One of the country’s financial regulators.
The newspaper elaborated that the agency would closely monitor the implementation of the regulatory measures already introduced. These include the Act on Reporting and Using Specified Financial Transaction Information. The latter imposes some restrictions on cryptocurrency exchanges operating in South Korea.
The Korean government has also delegated powers to the Ministry of Science and Information and Communications Technology to drive the development of the blockchain industry in the country. The department has already dealt with issues related to the crypto space. Earlier in May, Korean media reported that the ministry had done 30 in the last three months. Found and blocked more than Phishing website Crypto Exchange is trying to get login details from users.
South Korean government confirms plans to tax crypto-related gains
In this week’s announcement, South Korean officials have also maintained their commitment to income Tax on profit From cryptocurrency transactions. Crypto investors who won 25 million ($ 22,400) or more during the next year will have to pay 20% on their profits. Not all Korean The proposal is welcomed.
Another development concerns the crypto trading platform operating in the Asian country. The Korean government has decided to ban cryptocurrency operators from direct engagement in providing transactions or brokerage services. Korean ministers say the move aims to increase transparency in the operation of digital asset exchanges.
Crypto investment and trade have gained significant popularity in South Korea where prices have often exceeded global rates. The phenomenon is known as ‘Kimchi Premium‘ has been seen again in the last weeks market Began to move downwards. At the time of writing, the price of bitcoin (B T c) At Bithumb, one of Korea’s largest crypto exchanges, hovers above $ 38,000, while the global rate is close to $ 35,000.
Seoul’s latest decisions add a series of regulatory announcements that have negatively affected the cryptocurrency markets. Officials in China are tight-lipped Bitcoin miner And has repeated previously introduced restrictions on crypto trading and exchange. Meanwhile, the US has announced New ideas To prevent tax evasion associated with cryptocurrencies, including requiring companies to declare any crypto receipt exceeding $10,000 of market value.
What do you think about the latest regulatory developments in South Korea? Share your thoughts on this topic in the comment section below.
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