The South Korean authorities is contemplating imposing harder rules, together with a unified itemizing customary, on all cryptocurrency exchanges within the nation following the collapse of cryptocurrency terra (LUNA) and stablecoin terrausd (UST).
Korean Government’s Meeting With Cryptocurrency Exchanges
The South Korean authorities is shifting duty for the crash of cryptocurrency terra (LUNA) and algorithmic stablecoin terrausd (UST) onto crypto exchanges, the Korea Times reported Thursday.
The Korean National Assembly and the federal government held an emergency assembly with the heads of main crypto exchanges within the nation Tuesday to debate measures to stop the recurrence of the LUNA and UST implosion. However, the lawmakers and monetary authorities appeared to help the imposition of harder rules on crypto exchanges, the publication conveyed.
The Korean authorities has criticized crypto exchanges for his or her delayed response to the collapse of the 2 cryptocurrencies. Several high Korean crypto exchanges didn’t delist LUNA till two weeks later. Some critics stated they deliberately delayed delisting to reap extra commissions from the incident.
Rep. Yoon Chang-hyun of the ruling People Power Party raised issues over crypto exchanges’ ambiguous itemizing and delisting requirements. He pressured:
The exchanges wouldn’t have any unified itemizing customary, nor do they maintain any negotiations over the difficulty.
Responding to the lawmakers’ dialogue about imposing a unified itemizing customary throughout home cryptocurrency exchanges, Lee Sirgoo, the CEO of Dunamu, which operates Upbit, the nation’s high change, defined that it’ll not resolve the issue. “Crypto belongings may be despatched to abroad exchanges, and plenty of crypto buyers are already utilizing non-Korean headquartered exchanges,” he stated.
Rep. Sung Il-jong of the People Power Party reportedly stated in the course of the assembly: “We must make exchanges play their correct function, and towards that finish, it’s essential for watchdogs to oversee them totally.” He added:
When exchanges violate guidelines, they need to be held legally accountable to make sure that the market features effectively with none troubles.
Vice-Chairman Kim So-young of the Financial Services Commission (FSC), the nation’s high monetary regulator, stated: “We are going to construct shut ties with the Ministry of Justice, the prosecution and police, in a bid to watch any unlawful acts within the trade and shield buyers’ rights.”
An official from one of many home cryptocurrency exchanges opined: “Exchanges can simply turn out to be a goal of criticism at this time period when no particular regulatory guideline has been launched.” He added:
We perceive the aim of the assembly, however probably the most pressing step is to summon Do Kwon, co-founder of the corporate, as rapidly as authorities can.
The National Assembly plans to carry a listening to session on the LUNA incident within the close to future. However, the publication famous that Do Kwon is unlikely to attend since his whereabouts are unknown.
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