South Korea's financial regulator will create a new legislative body that will focus on developing the Korean fintech industry, with a particular focus on cryptocurrencies and blockchain technology. According to the Korea Times, the Financial Services Commission (FSC) intends to create a new legislative body, called the Financial Innovation Bureau, which will actively participate in the development of the fintech industry.
The decision to create this body was made during a meeting of the FSC cabinet of ministers and the Ministry of Internal Affairs and Security this week. According to the FSC, the innovations will help protect investors and will contribute to the development of financial technologies such as blockchain and cryptocurrencies.
An FSC representative told the publication: “The task of the new Bureau of Financial Innovation will be legislative initiatives for the fintech industry, promoting the introduction of new financial technologies into existing systems, as well as addressing problems in the industry as they arise.”.
This may mean that the new body will be responsible for issuing regulatory guidelines for domestic cryptocurrencies exchangers. Although the South Korean government has banned ICOs, following the G20 directive on common global principles among member countries, Korea will soon ease some restrictions. The Korea Times report also stated that the regulator is confident that “cryptocurrency assets do not pose a significant risk to the global financial system.”
Earlier this week, the Financial Stability Board - the international observer of the G20 and the regulatory coordination body for member countries - published a report on cryptocurrencies. Bank of England Chairman and Governor Mark Carney called for “vigilant monitoring and monitoring of the situation and the speed of developments in the market.”
According to ccn.com
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