The South Korean Financial Supervisory Service (FSS) plans to develop new tools to monitor the risks associated with digital assets as early as this year.
FSS Governor Lee Bok-hyun said the regulator currently lacks data to identify potential risks associated with cryptocurrencies. However, FSS expects that the connection between the cryptocurrency market and the traditional market will increase, which will allow regulators to apply already familiar tools in a relatively new industry.
So far, FSS believes that their main task is to protect user data. In the future, the regulator plans to establish new rules for the disclosure of information related to digital assets. Hyun also emphasized that no South Korean company currently provides cryptocurrency services directly.
“Despite the fact that the cryptocurrency market is growing inexorably, we do not see a significant impact on the stability of the financial system. However, the size of the domestic cryptocurrency market has increased and its influence could increase dramatically,” says Hyun.
Earlier, South Korea’s Ministry of Science and Information Technology (MSIT) published a strategy for the development of Web3 and the Metaverse, as well as ethical guidelines for industry operators.
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