South Korea has announced the Digital Assets Committee. They also launched an investigation and met with Asia-Pacific financial officials.
The investigation into digital asset payment gateways began by South Korea’s Financial Supervisory Service on Friday, June 3. South Korea’s financial regulator, the FSS, operates under the Financial Services Commission. Both of these are government institutions.
Local news outlet Money Today Co. reported that the FSS recently requested reports from 157 payment portals regarding any service related crypto, their future plans, and disclosure of digital assets. An FSS report revealed that only six of them had any digital assets.
While the FSS is the current primary financial regulator in South Korea, the Digital Assets Committee was launched on May 31st 2022 by South Korea. This announcement states that this temporary solution will be used to restore structure to the virtual assets industry after the Luna-Terra crash.
The guidelines cover market monitoring, trade monitoring and screening criteria for newly-listed assets. They also include disclosure requirements. The standards have been agreed upon by the five largest exchanges of the country and they have created their own committee to prevent another similar incident to Terra ( LUNA).
Soon after the FSS started its investigation, it announced an online meeting with financial supervisory authorities in five Asian-Pacific countries. The Indonesian Financial Supervisory Service hosted the event, which also included Australia, China and Japan.
Global market conditions were discussed as well as big-tech and crypto. The Korean representative spoke out about the need to regulate cryptocurrency, take disciplinary action against virtual assets, and expand financial regulatory frameworks.
Do Kwon was the main figure in the Luna incident. South Korean officials launched an investigation on Tuesday, May 24, 2022. Yoon Chang-Hyeon will be the Chairman of the People’s Strength Virtual Assets Special Committee, who met with top exchanges to respond.
