South Korea FSC is Preparing For Crypto Asset Regulation

South Korea’s Financial Services Commission (FSC) outlines crypto market areas in the second phase of virtual asset legislation.

South Korea FSC is Preparing For Crypto Asset Regulation

South Korea FSC is gearing up for the next phase of virtual asset legislation, which is set to be implemented this month. This move aims to regulate various aspects of the cryptocurrency market that have not yet been addressed. Recently, the South Korean National Assembly approved the “Virtual Asset User Protection Act.” which defines digital assets, establishes penalties for unfair transactions, and grants oversight authority to South Korea FSC.

To further develop a comprehensive regulatory framework, South Korea FSC organized a meeting of the digital asset private joint task force (TF) working group on Monday. During the meeting, the participants discussed and outlined the upcoming legislation that will fully integrate virtual assets into the country’s institutional system. The second phase of this legislation will primarily focus on regulating virtual asset issuance and financing by virtual asset operators.

We will prepare for the second phase of legislation for virtual assets before the law is implemented. We will actively negotiate with relevant agencies such as the Ministry of Strategy and Finance, the Ministry of Science and Technology, the Ministry of Justice, the Ministry of Administrative Security, the prosecution, the police, the Bank of Korea, and the Financial Supervisory Service, and promote various measures to establish a market discipline system.

FSC