Rynek kryptowalut w Korei Południowej może stać się monopolistą
Experts expressed concern that a monopolised market could emerge in South Korea after the introduction of new cryptography rules.
Those who brew inside the South Korean "block-kitchen" claim that new startups are trying to establish partnerships with local banks. This is primarily due to the tightening requirements for the crypto industry by Korean regulators.
New rules of cryptographic reporting and registration for companies associated with cryptocurrencies will come into force this Thursday. Therefore, many will face a difficult period of assimilation, as it was once against the background of the appearance of mandatory KYC-procedure on crypto-exchanges.
With an eye on this innovation, most South Korean cryptocurrency experts are concerned that changes in the law and tightening of regulations by regulators could kill most local crypto firms. At a minimum, the problem will be a mandatory application for registration by all operators of digital assets, providing evidence of the work with accounts issued in the real name in a South Korean bank.
First of all, such a measure is introduced to counter money laundering, but most cryptocurrency companies in South Korea still can not come to a common denominator with local agencies, which put sticks in their wheels.
According to one of the South Korean analysts, partnerships with banks have failed even companies operating in the industry not for the first year. Although they receive accounts from local banks for real data and have an information security management system.
After the introduction of the new law in the South Korean cryptocurrency industry may come a monopoly, in which all power will be concentrated in the hands of the four largest exchanges. Only they will be able to work in accordance with all the requirements of regulators. Data on 4 exchanges are taken on the basis that this number of exchanges from more than 100 local trading platforms managed to secure bank accounts under the new rules.
According to the professor of the University of Korea, the country's financial departments should establish a dialogue with representatives of cryptoinustrius and banks, which refuse to issue accounts with the real data of the heads of cryptocurrency firms for unknown reasons. And it is better to do so until 2022, when the law will come into force in South Korea, according to which the profit from cryptocurrencies over 2.5 million won or $2,300 will be taxed at 20%.