Korea Passes New Crypto Law, Making Way For More Businesses

Korea passes new crypto law which categorizes cryptocurrencies as digital assets and this move is expected to pave the way for businesses and to set rules for further operation. In our cryptocurrency news today, we find out more about the bill.

South Korea’s national policy which is a part of the National Assembly of the country, passed the bill hoping to boos the crypto businesses in the country. According to a report from the local media Korea JoongAng Daily, the National Assembly’s national policy committee of South Korea passes a bill which categorizes the cryptocurrencies as digital assets.

The Financial Services Commission, this move will help the crypto become more transparent overall, and will further legitimize the investments from individuals and institutional investors. Also, the law is expected to prevent money laundering and to set the ground for the financial transactions and to help the digital asset businesses to thrive in general.

This new bill will require from all of the crypto-related businesses to report and to register with the FSC’s Financial Intelligence Unit and all of those who fail will not be able to get their bank accounts approved. Moreover, if businesses fail to comply with the regulations, they will receive a penalty. It is worth noting that the new bill has to pass the Judiciary Committee and to pass the main floor of the National Assembly. If they approve it there, the bill will go into effect next year.

According to other data, the Korean Worn is now the third most traded fiat currency against bitcoin. It accounts for about 2.45 percent of all bitcoin-to-fiat trades and the first place is, of course, the US dollar. The Japanese Yen is in the second position. Earlier this year, DC Forecasts reported that the overall value of investments made in crypto in the country increased by 62 percent and with the latest positive regulatory developments of the kind, it is possible that the number will increase in the near future.

As previously reported, the Korean government is giving $9 million for the blockchain project which will cover both public sector and private sector projects. They will be eligible to apply and the application will be taken through November 11, with results being announced on December 20. The public sector includes any of the 400 government and government-related entities such as central agencies, regional organizations, and public institutions.