ICO Ban In South Korea | Ethereum Dev Says...
At the point when China's national bank restricted beginning coin offerings (ICOs) toward the begin of this current month, the move helped trigger a crash in the estimation of bitcoin. The digital currency has to a great extent recouped, yet devotees will be on the caution once more, as South Korea has now taken after China's lead.
The ICO is another type of raising money where, rather than a startup issuing its financial specialists with shares, it gives them computerized tokens that are once in a while associated with the new administration they're attempting to offer. There are immense dangers here, the same number of the new companies propelling ICOs are getting consistent individuals to become tied up with thin or improbable marketable strategies—or, more terrible, inside and out misleading them with pump-and-dump plans.
Those dangers are what driven China to pull the attachment, and a similar idea appears to have struck South Korea's budgetary controllers. The nation's Financial Services Commission (FSC) said Friday that it was forbidding all ICOs in the nation, with a risk of "stern punishments" for the individuals who proceed with the raising money strategy.
"There is where cash has been overflowed into a useless and theoretical course," FSC bad habit director Kim Yong-beom stated, as indicated by Yonhap.
The controller included that virtual-money exchanging should have been nearly observed and controlled. It's significant that China lined up its ICO boycott with a vigorously reputed—however never formally affirmed—crackdown on Bitcoin trades.
The most recent news set off a 2% fall in Bitcoin's esteem, and a marginally bigger drop in the estimation of Ethereum, the virtual cash that is utilized as a part of numerous ICOs. It stays to be perceived how much the Korean boycott will influence assessment in the coming days.
The digital currency group is positively mindful of the dangers encompassing ICOs. Ethereum maker Vitalik Buterin not long ago discharged a whitepaper he had co-created with respect to approaches to hose the risky buildup that occasionally goes with the offerings.
A large portion of ICOs are funded by people who got rich buying Bitcoin.
They need to diversify their exposure to the volatile cryptocurrency.
But they don't want to pay tax.
On that basis, ICOs look like a good deal.
ICOs are largely unregulated offerings of digital coins, a bit like Bitcoin, that dozens of small tech companies are selling to raise funding. They operate like IPOs, but instead of offering equity they offer cryptocurrency tokens of their own design. The coins can then be exchanged at a later date, either traded to other buyers or for assets produced by the company itself.
ICOs are as exciting, and risky, and crazy, as they sound.
So who is providing this firehose of risk-loving money?
interesting, i didn't consider that a lot of these are just ways to diversity bitcoin without having to cash out of cryptos.
I don't think this is a good news for the crypto industry. If every nation continue to ban ICO, how then do the other great and real blockchain projects been developed in this nations get funding and exposure?
I know this might be in an attempt to regulate the industry, government can be strategic even when they are ignorant.
As with the China ban, junk ICO's were becoming a huge problem. Governments are slow in coming up with viable regulations. They feel they need to put a halt to the problem in order to have time for them to solve it. Once they get on top of the issue the ICO's should resume. JMHO.
@tech-trends - Eh when i see you here more then in discord :) How are you man ?
Btw, Korea is hoping for the same result as China, but it's not gonna happen... They are literally trying to regulate crypto market by regulating ICO through investments and fund raisers...
Is Korea planning tax on BTC ?
Hey buddy .. long time no see .. I'm fine as always ... I don;t think korea will put tax on btc or any other crypto as it is one of the biggest supporter in the crypto world
Then Asia just decided to go big against ETH... price is going steadily down for past few months... If hard fork doesn't save it, Asia banning and regulating ETH based ICO's.... destroy!
Nice to see you are doing well :) Hope again some night at minnows to be hilarious as it used to be :)
Cheers
Luci
This post has received a 2.98 % upvote from @boomerang thanks to: @alexvan
@boomerang distributes 100% of the SBD and up to 80% of the Curation Rewards to STEEM POWER Delegators. If you want to bid for votes or want to delegate SP please read the @boomerang whitepaper.
Ohh Thanks a lot buddy :)
Make no doubt about it these countries may need some regulation but at the end of the day I guarantee they are snatching up all the bitcoin they can when there toxic news releases come out look at Jamie Dimon for instance. in the end thought it will all be in vein for them because crypto will be the winner.
nothing bad will happen with cryptoworld if corea ban ico, but it's better for all the crypto world, it became more and more popular and no one will stop us !
Looks like the players want their piece of the action. KYC will be the norm and possibly accredited investor status may be implemented!
even they ban ICO. Crypto will still has its way to the top.