South Korea’s FSC Nominee Believes Cryptos Could Not Work as Currencies

Koh Seung-beom, the nominee for South Korea’s Financial Service Commission (FSC), has stated on Wednesday that recognizing Cryptocurrencies Cryptocurrencies By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw Read this Term as financial assets might be difficult. According to The Korea Times, Koh pointed out in a press briefing that he is not a believer in cryptos working as a currency by itself.

“I understand that the Group of 20, the International Monetary Fund, other international agencies and a considerable number of experts find it difficult to see virtual currencies as a financial asset, and think they could not function as a currency,” the nominee to lead the South Korean financial watchdog commented. He, in fact, commented that a future leadership on the FSC would put curbing a sustained increase in household debt in the top priority of his plan.

“The FSC will push ahead with existing anti-debt measures and come up with additional steps, if needed, by mobilizing all available policy means,” Koh added. The crypto-related comments come amid a booming interest among South Koreans towards digital assets’ investments due to the coronavirus crisis.

Also, the deadline to enact the new set of rulings on crypto exchanges and banks that deal with such companies on September 24 is approaching. This is a measure that has not been exempt from controversy within the domestic industry. Finance Magnates reported recently that overseas crypto exchanges seem to be distancing themselves from doing business in the country ahead of the new Regulation Regulation Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Read this Term.

What Do the New Rulings Say?

According to the new rulings supervised by the Financial Services Commission and the Financial Intelligence Unit (FIU), banks working with crypto exchanges should issue accounts with customers’ real names to prevent money laundering. However, as of press time, Upbit recently became the first South Korean cryptocurrency exchange for registering with the FIU ahead of the deadline.

Doh Gyu-sang, FSC Chairman, commented that the agency expects to see the registry of one or two more exchanges by the end of August.