In line with a local news source ‘Business Korea,’ South Korea prohibited ICOs inthe month of Sept.last year, stating that sucha sortof fundraising is almostalike gambling. This Aug., Korean lawmakers,together withparticipants from government ministries,came backto the cryptocurrency issue,that outlined inrepealing the country’s ICO ban. Lawmakersagreed onthe requirementto develop related policy before carrying a resolution on ICO re-allowance.
At a recent session, Choi reportedlyaddedthat the govtdoesn’tdeny the potential of the blockchainbusiness,whereasnoting that it, should not equate the cryptocurrency trading business with the blockchainbusiness.”
Adding further he said:
“Manyindividualssay the Korean governmentneed topermitICOs,butICOs bring uncertaintyand therefore theinjurythey cancauseis just tooserious and obvious. For these reasons,severalforeign countries ban ICOs orareconservative towards them.”
Choiconjointlyaddressedcriticismof businessbanks that refused service to crypto exchanges, stating that “exchangesought tobeready topersuade banks to issue bank accounts to them.”
Otherofficershavesaidthat the South Korean govt. is likely to reveal its official stand on ICOs by the upcoming month inNovember. The Chief of theofficefor Govt.Policy Coordination ‘Hong Nam-ki’statedthatthe govt.would announce its position once it finalizes its discussion and receives the results of a government survey.
Hong told Korean business publication that thethe govt. haslaunched a survey of blockchainfirmsto collecttheir views onthe presentexisting legal framework in the country.
Earlier in Sept.,The Cabinet ministers of South Koreain an agreement convincedto exclude all sale and brokerage of digital assetsemployingblockchain technology from venture business classification. The move was reportedly takenso asto “strengthen the cooperation ofconnectedinstitutions” andto shieldvotersfrom the “illegal activities”associated withthe digital assets business.