South Korea is moving closer to a true regulatory framework for the exchange of Bitcoins

The south Korean authorities would be on the point of putting the final touches to the regulation of the exchange of crypto-currencies, specifically Bitcoin. In effect, the Financial Service Commission (FSC), the regulatory body and control of the financial environment in South Korea, has recently presented a draft law which will force the markets of crypto-currency to comply with strict rules. This bill appears to be on the verge of being approved.


The FSC remains in its lineage

The FSC has already publicly revealed its intention to introduce regulations relating to the platforms of exchange of Bitcoin in the last year, focusing on the regulatory parameters and a licensing. “The government will push for the systematization of the crypto-currency on a large scale, at the same time, a trend that we are already seeing in the United States, Japan and other countries “, said the chairman of the FSC, Yim Jong-yong at the time. Six months later, the lack of consensus between multiple Korean authorities, including the central bank and several government ministries, the subject of a regulatory approach unified has considerably slowed down the process.


A regulatory framework essential

As the year end gets closer, the FSC would be on the verge of putting the finishing touches to the latest version of the bill. The FSC insists on the importance of platforms of exchange and on the need for a regulatory framework. “The markets of crypto-currencies are necessary to maintain standards of consumer protection, such as deposits-segregated client assets, and to increase the transparency, as a procedure of confirmation of customers’ identity. The authorities will also be empowered to continue the exchanges that violate these rules, ” says an official from the FSC. If one follows the logic of the FSC, the regulatory framework will also prevent the misuse of crypto-currencies by criminals as a tool of money laundering.

Source : Cryptocoinsnews