Korean Legislators Urge for Crypto, ICO, Blockchain Regulations - Report

Lawmakers in South Korea have disclosed draft bills regulating digital currencies, coin offerings and blockchain.

South Korean members of parliament (MPs) will submit bills that aim to regulate cryptocurrencies, initial coin offerings (ICOs) and blockchain technology during the coming two weeks, local media outlet The Korea Times reported on Wednesday.

Several MPs have allegedly unveiled drafts of the rules and are planning to bring them up for discussion at an extraordinary session of the Korean parliament between July 13 and 26. Among them are Park Yong-jin of the ruling Democratic Party of Korea, Chung Tae-ok of the main opposition Liberty Party Korea (LPK) and Choung Byoung-gug of the minor opposition Bareun Mirae Party who, according to the publication, are “most committed to the issue.” Park is known as an advocate for the regulation of virtual currency business, as he proposed an amendment of the current laws in August last year.

The upcoming legislation fits moves Korea has recently taken to introduce rules into the digital coin sphere despite already being one of the most crypto-engaged nations worldwide. Last week, the government officially recognized the virtual currency industry and added classifications for the sector. In May, a number of MPs suggested the lifting of the ICO ban introduced in September 2017 and rather regulate them.

The Korea Times quoted LPK member Song Hee-kyung as stressing the significance of introducing rules for cryptocurrency exchanges in the fight against money laundering, hacker attacks and data breaches, a position held also by Oh Se-jung from the Bareun Mirae Party. On July 19, Song will lead a debate on security issues related to domestic digital currency marketplaces.

Whether the Korean parliament will pass the bills is yet unclear in view of the opposing opinions on crypto matters among MPs and since “more urgent political and economic issues are on the table,” as the local news source noted.