<img width="800" height="533" src="https://cdn.thebittimes.com/images/2023/10/20/5224c3a433c3308cd4b0fe8bc01421b6.webp" class="webfeedsFeaturedVisual wp-post-image" alt="" decoding="async" style="display: block; margin: auto; margin-bottom: 5px;max-width: 100%;" link_thumbnail="1" srcset="https://cdn.thebittimes.com/images/2023/10/20/5224c3a433c3308cd4b0fe8bc01421b6.webp 800w, https://cdn.thebittimes.com/images/2023/10/20/5224c3a433c3308cd4b0fe8bc01421b6.webp 450w, https://cdn.thebittimes.com/images/2023/10/20/5224c3a433c3308cd4b0fe8bc01421b6.webp 750w, https://cdn.thebittimes.com/images/2023/10/20/5224c3a433c3308cd4b0fe8bc01421b6.webp 768w" sizes="(max-width: 800px) 100vw, 800px">
In June, the Virtual Asset Users Protection Act was ushered into existence without the necessary <a rel="noopener noreferrer nofollow" title="regulator" href="https://thebittimes.com/tag/regulator.html">regulator</a>y underpinning, as highlighted by the chief of South Korea’s Financial Supervisory Service. The FSS of South Korea is actively formulating supplementary regulations to fortify the Virtual Asset Users Protection Act, ratified earlier in 2023, as per local reports. Anticipated to be finalized by January, these new regulations are poised to be in effect concurrent with the law’s enforcement, revealed the head of FSS.
On October 17, the Political Affairs Committee of the South Korean National Assembly scrutinized the FSS, during which Lee Bok-hyeon, the head of FSS, responded to criticisms asserting that South Koreans were incurring losses due to crypto “burger coins” – a colloquial term denoting foreign-issued cryptocurrencies traded within South Korea. FSS is gearing up to institute criteria for listing processes, internal controls, and the issuance and distribution of virtual assets. Additionally, there will be the establishment of a “virtual asset market supervision and inspection system,” according to South Korean press coverage of the audit. Lee disclosed that ongoing discussions regarding these impending regulations involve consultations with the Digital Asset eXchange Association (DAXA), comprising local crypto exchanges Upbit, Bithumb, Coinone, Korbit, and Gopax.
Expressing dissatisfaction, Lee noted that the legislation passed in June lacked <a rel="noopener noreferrer nofollow" title="regulator" href="https://thebittimes.com/tag/regulator.html">regulator</a>y granularity. While the law imposed criminal liability for infractions, Lee asserted that it failed to confer sufficient authority upon his agency. He emphasized the need for collaboration with DAXA in cases involving manipulation of distribution volume through staking or unfair disclosure, stating:
“There are established systems in the securities sector for diverse screenings linked to the issuance market, but analogous systems are absent at DAXA or individual exchanges.”
In response to this <a rel="noopener noreferrer nofollow" title="regulator" href="https://thebittimes.com/tag/regulator.html">regulator</a>y gap, South Korean law enforcement has outlined plans for a collaborative virtual-<a rel="noopener noreferrer nofollow" title="asset" href="https://thebittimes.com/tag/asset.html">asset</a> crime investigation unit named the Joint Investigation Centre for Crypto Crimes. Comprising 30 staff members drawn from various government agencies, including the FSS, National Tax Service, Korea Customs Service, among others, the unit aims to combat illicit activities within the realm of virtual <a rel="noopener noreferrer nofollow" title="assets" href="https://thebittimes.com/tag/assets.html">assets</a>.
The post A South Korean regulator describes how to improve the laws pertaining to digital assets. appeared first on BitcoinWorld.
Source: <a rel="noopener noreferrer nofollow" target="_blank" href="https://thebittimes.com/a-south-korean-regulator-describes-how-to-improve-the-laws-pertaining-to-digital-assets-tbt67074.html">https://thebittimes.com/a-south-korean-regulator-describes-how-to-improve-the-laws-pertaining-to-digital-assets-tbt67074.html</a>

A South Korean regulator describes how to improve the laws pertaining to digital assets.

TheBitTimes

Other articles published on Oct 20, 2023

Introducing DeSo Social Block Explorer

Lido Finance to stop Solana support while Cardano prices fall, new project unveils staking program

Binance Expands Euro Banking Partnerships with New Agreements

Chainlink and Tron Prices Rally, New Web3 Token Could Lead the Next Bull Market

Bitfinex documentary on the rise of Bitcoin in El Salvador to premiere in Lugano

Coinbase Open Sources Layer-2 Network Base Code as TVL Dips

Join our free newsletter for daily crypto updates!