Korean Government Answers Petition Against Unfair Cryptocurrency Regulations

The South Korean government has officially responded to the popular petition, with over 20,000 signers, against unfair cryptocurrency regulations. The regulators defended their crypto measures and outlined additional regulatory plans.

Also read: Japan’s DMM Bitcoin Exchange Opens for Business With 7 Cryptocurrencies

Popular Petition Answered

South Korea has answered the petition entitled “Has the government ever dreamed a happy dream for the people?” Filed on December 28, the one-month petition asks the government to avoid excessive regulations for cryptocurrencies in the country and “not make unfair regulations on virtual currency investment.”

According to the rules set by the Blue House, the government will respond to any petition with over 200,000 signatures within a month. On January 16, the above petition surpassed that threshold, as news.Bitcoin.com previously reported. By January 27, a total of 228,295 people had signed and the government subsequently responded to it on Wednesday.

Hong Nam-ki, Minister of the Office for Government Policy Coordination (OPC) said in his response:

It is the basic policy of the government to prevent illegal acts and uncertainties in the process of virtual currency transactions, and actively nurture blockchain technology…Transparency of virtual currency transactions within the framework of the current law is a top priority…We have been attentive and careful, keeping an open eye on market conditions, international trends, and all means”

Government Still Divided on Regulations

The Korean government started announcing regulatory measures for cryptocurrencies in the middle of December. Since then, the regulators have considered a wide range of measures to curb speculation of the crypto market. They implemented the real-name system on January 30, ending anonymous crypto trading via virtual accounts.

The most extreme measures have been proposed by the Korean Ministry of Justice, including an outright ban on cryptocurrency trading and closing down crypto exchanges. However, other financial regulators in the country did not support these proposals. Last week, the Korean prime minister stated that closing down crypto exchanges is not a serious consideration.

Hong was quoted by Reuters on Wednesday:

The government is still divided with many opinions ranging from an outright ban on cryptocurrency trading to bringing the institutions that handle the currency into the system.

In addition, he explained that the regulators will “develop ways to tax virtual currencies, led by the finance ministry, and should announce measures within the first half of the year to develop the blockchain industry.”

What do you think of the South Korean Government’s response to the petition? Let us know in the comments section below.

Images courtesy of Shutterstock and the Korean government.

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