South Korea reviewed bill to identify cryptocurrency exchange registration system

According to Coinpost, during a seminar on measures against the cryptocurrency exchange, a South Korean lawmaker Lee Soo Jin, a member of the Democratic Party of Korea, took the lead. The context of the story is a bill that defines the cryptocurrency exchange registration system.


Seminar on the regulation bill of cryptocurrency exchange

In Korea, in March, a “revision plan for reporting and using specific financial transaction information” was passed, which requires license registration at a virtual currency exchange and uses an account as a real name.

Therefore, it is expected that customers will be required to confirm their identities and take anti-money laundering measures and prevent cryptocurrency misuse. The law will take effect in March 2021, and existing cryptocurrency exchanges will also need to complete the registration procedures by September of the same year.

This is the time to prepare for making amendments, and the seminar will be held at a time of the crime and cryptocurrency fraud. The content will be analyzed to understand better the modification and how it will affect the blockchain and cryptocurrency industry.

Lee Soo-jin said:

“Transparency is indispensable for the blockchain, which is the root of the digital economy. But every time a cryptocurrency is misused for crime, a negative image is beginning to spread. ”

Criminal cases should be prevented by technical cooperation with law enforcement agencies. He also pointed out that blockchain technology is in the limelight due to the increase in service transactions not faced in the situation of a prolonged coronavirus reaction.

Soo-Jin stated:

“I would like to discuss the proposed amendment in detail after listening to the voices of the field so that we can build a future-oriented and innovative blockchain ecosystem while appropriately managing risks related to cryptocurrency.”

There is concern that the proposed amendment will make it difficult for small and medium cryptocurrency exchanges to operate, and the industry will be reorganized, so this will be a particularly exciting seminar for participants in Korea.

Virtual tax taxation policy

In Korea, the Internet Security Agency (KISA) plans to develop artificial intelligence software that tracks cryptocurrency transactions on the dark web. In the past, many transactions took place at Monero (XMR) to enhance anonymity and hinder investigating authorities.

There is also concern that dark web transactions involving cryptocurrencies in South Korea are on the rise.

Fraud cases have continued, and in the last month, it was discovered that a fraud project that cheated that it could profit from virtual currency investment had stolen about 100 billion won (about 8.9 billion yen), and the investigating authorities did.

Concerning tax relations, the Korean Ministry of Finance has changed the income tax law. It has indicated that mining of virtual currencies like Bitcoin and ICOs (funded through token sales) will also be taxable. In January of this year, it was also reported that it plans to impose a 20% tax on profits from cryptocurrency transactions.

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