South Korea Attempts New Crypto “International Discipline System” with 14 Other Countries
South Korea Calls on Fourteen Countries to Create International Discipline System for Crypto
Forming an International Discipline System
The particular event was attended by the officials and delegates from fourteen separate countries, including nations like the UK, Japan, Germany, Australia, Canada, and Singapore. The regulatory officers met to share their insights and discuss global regulatory issues, including those directly related to cryptocurrencies.
This event, called the 20th Integrated Financial Supervisors Conference (IFSC), took place from September 6th to 7th in the capital of South Korea, Seoul. The governor of the country's Financial Supervisory Service (FSS), Yoon Suk-Huen, made a call to action for the representatives from all countries attending the event to jointly respond to cryptocurrency risks.
According to the Korea Times, Yoon said:
“The authorities are in a difficult situation to minimize the side effects while encouraging financial innovation…The aim is to calm overheated speculation and prevent illegal activities against new risks associated with virtual currency or initial coin offerings (ICOs)…We need to create an international discipline system, which can only generate regulatory gains between countries.”
The governor cited that crypto and ICO activities are carried out across borders, he also emphasized that “it would be better to create an international discipline system” rather than each country responding individually, Hankook Ilbo reported.
Countermeasures Under Discussion
Yoon continued on to explain that South Korea's existing countermeasures for new financial services such as Cryptocurrencies, ICOs, including Financial Technology (Fintech), according to ETHNews. The organization also includes a “supervision method for effective internal control and compliance of financial companies, the direction of financial consumer protection system and financial inclusion policy, [and the effective anti-money] laundering system and how to operate it.”
According to the governor, he believes that the “internal control of financial companies is a way to safely manage customer assets and maintain sound management.” Yoon goes on to add that, along with this system, he hopes to see “the level of information sharing and international cooperation [to] be further strengthened,” the publication conveyed, adding:
“Korea has faithfully implemented international supervision standards such as reporting doubtful transactions, confiscation of criminal proceeds related to the prevention of money laundering, and expanding the exchange of information between countries.”