Korea Exchange CEO Son Byung-doo said the adoption of cryptocurrencies would increase South Korea’s daily trading volume by $ 12 billion.
Speaking at the Global ETP Conference 2021, Sohn Byung-doo expressed the opinion that it is time to take digital assets. He called for accelerating the development of a comprehensive set of rules for cryptocurrencies.
“The virtual asset market is no different from the traditional capital market — it must also support investor protection and transaction stability. Since virtual assets have become the main investment assets, it is time to prepare the institutional framework, ”he said.
Son believes that South Korea’s regulatory system, which classifies digital assets as something akin to intellectual property or patents (intangible assets), is not conducive to the internal development of the sector.
“The time has come for Korean exchanges to compete directly with foreign counterparts, as the world is now in an era of a global single market that requires competition between regulators,” said the CEO of Korea Exchange.
Son added that there are about five million cryptocurrency traders in Korea, and even more offshore. These traders could increase the country’s daily trading volume by nearly $ 12 billion, he said.
South Korea is actively developing legislation to regulate cryptocurrencies. Last month, the South Korean Financial Services Commission (FSC) demanded that lawmakers criminalize deliberate acts aimed at changing the price of cryptoassets.
Doh Kyu-sang, vice chairman of South Korea’s FSC, said in November that the Ministry of Economy and Finance was already preparing changes to a draft law on taxation of cryptocurrencies. The amendments will allow taxation of income from NFT trading.
At the same time, the tightening of cryptocurrency regulation is generating resistance from the industry. In late November, at a meeting of the South Korean Political Affairs Committee, industry experts spoke out against tightening the KYC procedure and reporting requirements for cryptocurrency transactions.
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