South Korea Passes Virtual Asset User Protection Bill

Coinscreed
Coinscreed

30 Jun 2023 11:08 AM

The Virtual Asset User Protection bill in South Korea aims to tackle unfair cryptocurrency trading and safeguard cryptocurrency investors from...

  • The Virtual Asset User Protection bill in South Korea aims to regulate unfair cryptocurrency trading and protect investors.
  • The bill incorporates 19 crypto-related bills and defines digital assets, imposing penalties for illicit trading activities.
  • The primary objective is to apply the Capital Market Act to virtual assets with securities-like nature.
  • Virtual asset service providers (VASPs) are required to assume responsibility for user deposits and provide insurance.
  • Violations of the regulations can result in imprisonment or hefty penalties.
  • The founder of Terraform Labs, Do Kwon, was sentenced to four months in prison for using a fake passport and is wanted in South Korea for violating capital markets law.

The article highlights the efforts of South Korea to regulate cryptocurrency trading and protect investors. It also mentions the penalties for illicit trading activities and the responsibility of virtual asset service providers. However, it also mentions the case of the founder of Terraform Labs, which reflects a negative aspect of the cryptocurrency industry.

Go to publisher site

You May Ask

What is the purpose of the Virtual Asset User Protection bill in South Korea?How many crypto-related bills are incorporated into the legislation?What penalties can be imposed for violations of the new regulations?Why was the founder of Terraform Labs sentenced to prison?What responsibilities do virtual asset service providers have under the new legislation?

Suggested Reads