South Korea promotes favorable “unified regulations” to G20 members regarding cryptocurrency use, trading, and adoption of blockchain technologies.
According to The Korea Times, South Korea is promoting “unified regulations” of cryptocurrencies among all G20 countries in their upcoming meeting. They intend to be the country paving the way for favorable regulations regarding cryptocurrency use, trading, and adoption of blockchain technologies. Since cryptocurrencies are global, having the entire G20 on the same page is vital in creating global standards for cryptocurrencies, similar to what the financial world uses with International Accounting Standards (IAS).
“Establishing unified rules is a complicated issue given the broader range of assessments between government agencies. This is why the country needs close international cooperation as it is still in the early stages of fine tuning guidelines.” -South Korean official
While many investors don’t want any regulation, it seems imminent at this point. Having some standard regulations can tackle important issues like market manipulation, market volatility, and anti-money laundering regulations. It is believed that once these issues, along with custody, are hashed out, institutional investors will be encouraged to enter the markets because they will feel that their clients investments are safe and they will be able to comply with regulations.
“The FSC (Financial Services Commission) made revisions to its rules to apply strengthened policies in order to prevent or detect money laundering and illegal activities because the regulator isn’t opposed to cryptocurrencies.” -South Korean official
In South Korea, the Democratic Party and Rep. Hong Eui-rak are working on lifting the ban and allow some ICOs.
During an earlier meeting of the G20 in March, members postponed the cryptocurrency regulation talks as it was viewed as “too small to jeopardize” financial markets.