South Korea Bann the Initial Coin Offerings!!!

in cryptocurrency •  7 years ago 

South Korean regulators have raised funds through symbolic events. The Korean regulator said it would ban fund-raising in all forms of cryptocurrencies.

The Financial Services Commission of South Korea announced it would ban the raising of funds in all forms of cryptocurrencys, reported Reuters. In this, the country follows the lead of China, where ICOs were put to a sudden stop a few weeks ago. The ban was put in consultation with the Finance Ministry, the Bank of Korea and the National Tax Service...

"Credit granting', in which a virtual caller borrows trading funds from a virtual caller, is also banned altogether," -

said a representative of the Financial Supervisory Commission for Korean news outlet News1. Regulators believe credit for margin trading falls under the Lending act and cannot happen without official oversight..

This does not mean individual users cannot buy tokens- anyone holding cryptocurrencies can send them without restrictions to an ICO wallet address, and there are currently hundreds of campaigns raising funds. But Seoul will lose some of its shine as a friendly hub of the cryptocurrency ecosystem.

Cryptocurrency markets responded by rapid overnight losses, erasing some of the ground they had covered in the past days. Bitcoin lost 3.5% in the last 24 hours and may drop again below the $4,000 levels. Currently, BTC stands at $4,080.86.

“Raising funds through ICOs seem to be on the rise globally, and our assessment is that ICOs are increasing in South Korea as well,” the regulator said in a statement.

The announcement also promised "stern penalties" for anyone continuing to raise funds. The reason behind the decision is that the government sees ICOs as a tool that may lead to the proliferation of financial scams.

And while trading on Korean exchanges continues, the regulator's statement also said that South Korea has not given an implicit blessing to cryptocurrency trading and will continue to monitor the markets. By the end of the year, Korean exchanges may face stricter disclosure and oversight requirements.

"We will not institutionalize virtual currency transactions," said a financial official. "We will include virtual currency trading in similar areas of receipt and thoroughly control."

The Korean ban was partially expected after national regulators moved in with sterner language. And while in previous years financial oversight was cursory, now it seems the regulators are going after almost all parts of the cryptocurrency ecosystem.

Australia recently updated its guidelines on ICOs, stating that some events of fund raising fall under the corporate act, as tokens represent securities. The US Securities and Exchange Commission also increased its oversight, unleashing a digital task force to monitor for fraud.

source is
https://cryptovest.com/news/breaking-south-korea-puts-stop-on-initial-coin-offerings/

Authors get paid when people like you upvote their post.
If you enjoyed what you read here, create your account today and start earning FREE STEEM!
Sort Order:  

Sometimes it becomes very difficult to predict future price of BTC because it should go up by acceptance of Japanese exchanges but then there is always new ban also. By the way you post was also informational to predict some factors

It will quickly settle back down. The ban is only on ICOs issued IN Korea... and most are not, to begin with.

Also heard North Korea is hacking South Korean btc exchanges.

lol south korea have btc exchanges?

Well yea, I'd imagine so! They are one of the hugest user base on steemit period. They are big into crypto currency!

okay imagine as u wish my lord!

You could just ask someone from there. Just look at trending and hot pages. Full of kr tagged blogs.

yea but thats all for south korea if u read about north korea u will know what i mean ...

not allow for peopls who line in north korea to use computer

Hi! I am a robot. I just upvoted you! I found similar content that readers might be interested in:
https://cryptovest.com/news/breaking-south-korea-puts-stop-on-initial-coin-offerings/

yea i did put the source i just sharing it

This post received a 2.11% upvote from @randowhale thanks to @rebecca80! To learn more, check out @randowhale 101 - Everything You Need to Know!

Congratulations @rebecca80! You have completed some achievement on Steemit and have been rewarded with new badge(s) :

Award for the number of upvotes received

Click on any badge to view your own Board of Honor on SteemitBoard.
For more information about SteemitBoard, click here

If you no longer want to receive notifications, reply to this comment with the word STOP

By upvoting this notification, you can help all Steemit users. Learn how here!

After China now Korea?

ya

Another cunning way to loot bitcoin. NICE.
https://steemit.com/@merazbd/

Thanks for the post @rebecca80. The rise of crytocurrencies is clearly starting to make some Governments very uncomfortable. I would expect the punches to keep coming. At the moment the cryto-train is hard to stop. I think we have an interesting year ahead.

yea:)