It seems that the Korean Government decided not to ban cryptocurrencies.
Instead, it will tighten their exchanges by endorcing real-name transaction rules.
Now, one who wants to buy and sell cryptocurrencies through an exchange should open an account from the bank the exchange deals with. (I find several issues on it including constitutional challenges but digress.)
What I am more interested in is a big fall in prices of cryptocurrencies.
The government had warned about bubbles in cryptocurrencies and we are seeing almost a free fall in the prices.
Does this justify what the government has done?
You may think “Look, the prices had risen very high and fell very sharply. There must be bubbles. The government should do something already.”
However, prices of cryptocurrencies had risen high because the government limited ways to supply cryptocurrencies into Korea in the first place;
Then the prices have fallen recently because high-profile officials have repeatedly expressed negative sentiments about cryptocurrencies within the government; they may close down exchanges.
The fall in the prices did not occur because something was wrong with cryptocurrencies in themselves. (Don’t misunderstand I believe cryptocurrencies are flawless at all.)
I think it is another good example of self-fulfilling prophecies: the bubble will be pricked because I will prick it. That is what the government has disseminated so far.