South Korean government’s stand on ICOs to be revealed soon
South Korea’s government is awaiting results from a survey of blockchain-based firms to announce its final stand on ICOs next month. Local business news website The Investor reported that ICOs have remained a disputable topic for the government. Hong Nam-ki, a senior official at the Office for Government Policy Coordination, stated that the authorities ”had several discussions”, which failed to reach a concrete outlook on ICOs so far.
The Financial Supervisory Service (FSS), the country’s financial regulator, in September arranged for a survey to garner the opinions of all local blockchain companies regarding the existing legal regulations for the industry. The survey results are expected to be out by the end of this month. This study was carried out since government officials suspected a few companies of organizing ICOs despite its blanket ban on such offerings.
South Korea’s Ban on ICOs
Last year in September, the government compared the process of issuing digital tokens for raising funds to illegal activities, like gambling. In the wake of this announcement, all ICOs were banned in South Korea.
But the fact that the authorities are willing to take into account the burgeoning sector comes as a silver lining to proponents of blockchain technology. Earlier in September, Belarus and Uzbekistan sought financial assistance from South Korean investors to bolster the growth of this technology.
On an official visit to Seoul, Andrei Dapkiunas – the deputy foreign minister of Belarus – highlighted the attempts that the country had made to draw Korean investors into “fourth industrial revolution” technologies, including blockchain and artificial intelligence (AI).
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