Kim So-young, the vice chairman of South Korea’s Financial Services Commission, emphasized a forthcoming regulatory phase that will prioritize innovation alongside the oversight of cryptocurrencies.
At a digital currency conference in Seoul organized by the South Korean government, central bank, and the IMF, So-young highlighted the importance of striking a balance between safeguarding investors and fostering technological advancement.
The Bank of Korea initiated a project in October aimed at developing a wholesale central bank digital currency (CBDC), marking a significant step in this direction. South Korea passed legislation this year to regulate virtual assets, aiming to bring stability and investor protection to cryptocurrency markets.
These regulations are set to take effect in July 2024. The decision was prompted by several cryptocurrency-related issues in recent years, including alleged fraud by South Korean crypto entrepreneur Do Kwon, intensifying concerns among both the public and regulators about the crypto market’s integrity.
