First Official Debate About Cryptos To Happen On South Korea’s National Assembly: Possible Outcomes
The world is set on regulating cryptocurrencies. Today, December 10, South Korea's National Assembly is set to reunite and discuss the future of crypto in the country. The debate was set up by most of the important exchanges in the country, which included names like Upbit, Gopax, Korbit, Coinone and Bithumb.
This is the first time that several members of the National Congress get together to debate openly about the future of cryptos. Read our article to find out the main subjects of the debate and the possible outcomes.
The Main Points Of The Debate
One of the most important points that will be debated in the meeting is the transparency and efficiency of the crypto exchanges, as last month the Financial Services Commission (FSC) of the country has allowed banks to create virtual bank accounts for business related to the blockchain technology and crypto exchanges.
Because of this, the exchange operators may have some new benefits but they will also have to be fully compliant with the laws from the government and a strict set of guidelines which will be released in January and will prohibit people from trading with unconfirmed bank accounts.
This would be good both for the governments and exchanges because it will help to regulate the sector and smaller crypto exchanges are still struggling to get support from banks in the country. Also, this prevents some large crypto investors from sending large amounts abroad using their bank accounts, which could help them to expand.
Another issue that will probably be discussed a lot is the importance of the crypto exchanges for the future of South Korea. The government has recognized the blockchain technology as an important pillar of the so-called “Fourth Industrial Revolution”.
Because of this, the country is interested in creating a non-hostile environment and in bringing in new talent for the development of a new blockchain ecosystem that will help to drive the growth of the country up. According to the government, digital exchanges have a very important role in this process as they will drive the process of this revolution.
The final of the main points if the practical regulatory framework. It is widely known that this space needs a clear framework to grow, so this will certainly be discussed during the meetings. Both crypto exchanges and the government are keen on agreeing on a framework that can be good for everybody and represent some stability.
The country is already creating some important policies like banning anonymous crypto transactions. However, some exchanges fear that the government may overregulate the market. Its policies need to be practical and be implemented fast, though, as a cumbersome regulatory framework could become an enemy of innovation.
It’s always good when businesses and government agencies communicate between themselves and facilitate the growth of the industry. The encounter will probably be good for the market even if no decision is made because it bonds the government and the exchanges and they may see new paths to follow together.
If some important change is actually made, though, it will be very good for the market and it will signal a bright future for cryptos.