Last week, the regulatory authorities in south korea have announced that they would prohibit all forms of ICO. However, they have not yet implemented the ban. Today, the startups in the country have decided to fight against the imminent ban.
A decision “hasty” according to the community of south Korean crypto-currencies
The local leaders of the industry of the Blockchain have stated that the decision to ban the ICO had no legal basis. According to an article by Forbes : “The local leaders of the industry of crypto-currencies argue that the ban is legally without merit. They fear that over-regulation results in local currencies in jurisdictions more welcoming, such as Switzerland, Singapore and Japan. “It is important to remember that the decision of the regulatory authorities in south korea to prohibit the ICO as a fundraising tool has been made because the government considers that this method increases the risk of financial scams. The community members of south Korean crypto-currencies were surprised by the hasty decision of the government. They looked forward to the establishment of a regulatory framework more clear, not a total ban.
Kim Tae-won, first in line
Today, Kim Tae-won, former president of Korea Blockchain Industy Promotion Association and technical Director of the startup Glosfer, brings together the whole community to fight against this decision. He is currently preparing a petition that would prevent the government from prohibiting the ICO. The petition asks the south Korean authorities of regulation to achieve a more in-depth assessment and gather more information before making a final decision on the prohibition of the ICO. Moreover, Glosfer has hired a law firm which has determined that the ICO could not be penalized under existing laws. Now, it will be interesting to see if the community of south Korean Bitcoin and crypto-currencies will be able to gather their strength in order to reverse this decision.