South Korea does NOT ban cryptocurrency!
Hello fellow Steemians! I have returned yet again! But this time with a bit of Major news!
Last year in December, South Korea dealt a strong blow to the Cryptocurrency exchange when the Financial Services Commission decreed that it was prohibiting South Korean exchanges from issuing new trading accounts, and that if the exchanges allowed new accounts, the government would take action to either stop their trading or to shut down the exchange completely. They added that anonymous trading of cryptocurrencies would no longer be allowed (at the time, most of the South Korean trading was done anonymously), and that users would now have to use their real names. These changes were to take effect in January.
Now earlier this week, CNBC, BBC, and other media entities released an article stating that South Korea would in fact BAN all cryptocurrencies. This article was then spread through social media and many other ‘News’ sources. The sources said that South Korea was full-on banning cryptocurrency. These articles came after reports that South Korean cryptocurrency exchanges had been ‘raided’ by local tax authorities.
“Oh my god! The crypto world is ending!”
Lol.
Yep! It never happened.
Here’s what really went down. In December, the FSC was quoted saying that South Korean cryptocurrency exchanges were now going to be watched vigilantly. The exchanges were to not take any more new accounts (starting in January) and traders would now have to use their real information, no more anonymity. Any exchanges not following those requests would then be subject to their wrath.
Now, the current turmoil started when local South Korean publications were quoted saying that South Korean cryptocurrency exchanges were being ‘raided’ by the FSC. What actually happened is that agents from the local tax authorities decided to pay some of the large exchanges a visit to get their details- trading volume, profits, “Are you paying your taxes?”, that kind of stuff. There was no raiding. No guns or action. Nothing major really. What happened next was that the local media quoted a government official saying that they were contemplating a ban in the county to help control the cryptocurrency fever. This publication followed Prime Minister Lee Nak-yeon’s warning that cryptocurrencies might “corrupt the nation’s youth”.
This news was then taken and distorted a bit (a lot) and published by the media under the guise of current events. To clear out these rumors, the South Korean Blue House (White House of South Korea) released a statement saying a cryptocurrency trading ban did not reflect the views of the government. Furthermore, The Ministry of Strategy and Finance also issued a statement that a ban did not reflect their views either. Nobody in South Korea actually wants to ban cryptocurrency.
Now.. I may not know exactly why the media did this… but heres a hunch.
Meltem Demirors, the head of the Digital Currency Group - an investment company that deals with currencies and crypto blockchain businesses – Thinks that when Wall St. gets their bonuses, there's gonna be a YUGE influx of cash into cryptocurrencies.
I tend to agree with her. Every year, at the same time in Mid-January, this is the time that Wall St. traders can really use their money. Traders want to make money – _remember, they need to pay for those Ferraris._ - and what better way to make money than to invest so much money into cryptocurrency that it influences the price? So I’m not saying there’s a conspiracy with the media bringing down prices so that Wall St. can throw some cash at cryptos… but, you know, the stars aren’t exactly aligned. So I wouldn’t really call it a coincidence. Moral of the story?
@originalworks
The @OriginalWorks bot has determined this post by @attractivetoast to be original material and upvoted it!
To call @OriginalWorks, simply reply to any post with @originalworks or !originalworks in your message!
South korea has been watching crypto for a while, plan has been made underground to make some possitive move towards crypto. The recent publication about North Korean using malware to mine monero is a signal call.
South Korea has been keeping an eye on Crypto, yes. But the reason that they are doing that is because it was going out of control. Thhats why the FSC specifically said that they only want the exchanges to abide by the law and pay taxes. A lot of them were doing many trades anonymously and trying to avoid all that. The only South Korean exchanges that will get shut down or investigated will be those that go against the rules set by them. Also, i saw that publication, but i haven't been able to verify it myself. On the other hand, if North Korea were to actually be mining Monero, it wouldn't be surprising. They have sanctions on just about everything, and cryptocurrency is probably one of the few ways the regime can get money. Furthermore, mining is part of what increases value to cryptocurrencies. If they are mining it, using malware or not, it's not exactly a bad thing. The only problem would be what exactly they are doing with Monero and where it's going.