South Korean government confirms that there will be no trade ban with cryptocurrencies

The statement comes after numerous opposition parties and users in that country demonstrated against a false announcement of a ban by the justice minister.

Today, January 15, at a public press conference, the spokesman for the Executive House of South Korean President Jeong Ki-joon, stressed that there will be no ban on the trade of cryptocurrencies in the near future.

In an official announcement, spokesman Ki-joon pointed out that the cryptocurrency regulation task created by the government will improve and alter the original proposal of the Ministry of Commerce for Cryptocurrency and introduce practical regulations to encourage the cryptographic market.

The statement of the spokesperson points out:

The cryptocurrency trade ban proposed by Justice Minister Park Sang-ki was a suggestion by the Ministry of Justice on December 28 to put speculation in the cryptocurrency market under control. The proposal will be discussed and modified by the working group in which the Ministry of Strategy and Finance, the central bank, the Fair Trade Commission and other agencies participated. "

And later:

Excessive speculation and fraudulent activities will face serious consequences. But, the government will support and even finance the development of Blockchain technology. "

The ban on cryptocurrency trading by foreigners and underage investors is expected to be implemented on January 20 and, by the end of this month, South Korea's cryptocurrency exchanges are also expected to reopen registrations for new users. investors

The South Korean government's statement came after several senior officials, including Nam Kyung-pil, a former congressman and member of the National Assembly, criticized the government for its inability to understand and regulate the cryptocurrency market, and that several parties were They will protest against the false statement of the justice minister, who assured that the ban was imminent.

"Calling Bitcoin to a bubble is ridiculing the people of South Korea. It is an unfounded condemnation of the currency. The government should focus on fostering the crypto market if it does not want to be left behind, "said Kyung-pil.

Optimistic market
South Korea's cryptocurrency exchange market along with major trading platforms such as Bithumb and Korbit are optimistic about the new approach the government is taking to regulate and encourage the local market.

A Bithumb spokesperson told Yonhap News in an interview that practical regulations are now being imposed, and exchanges in South Korea will comply with the new regulations and policies to ensure that the market remains transparent, fair and stable.

Yonhap also reported that investors within the cryptocurrency exchange market in South Korea have become more optimistic and have begun to feel more secure trading and investing in cryptoactive.

In December, Korbit co-chairman Kim Jin-hwa declared during a government hearing that if the government tries to impose taxes on merchants and impose strict regulations, it must first provide a level playing field for both cryptocurrency companies and for investors. Kim stressed that the government should not create a difficult ecosystem for investors by not encouraging the market.

Although a trade ban on cryptocurrencies is always possible, given the unpredictable nature of the South Korean government, from now on, a trade ban seems highly unlikely, due to the massive reaction the government has received from its people.