The governments all around the world are attempting to come up with regulatory framework for digital assets. Among them, South Korea is leading the way in digital currency regulation. This year, this country have taken a step further towards tightening rules and regulations regarding exchange of digital assets for the security and protection of digital currency investors. According to the Financial Times, Yulchon, a South Korean law firm, who have expertise in Crypto Asset Class is helping government to tighten supervision by giving out detailed guidelines. Cryptocurrencies have been gaining substantial attention in the nation since huge portion of global Bitcoin trading volume comes from the Korean Won. The citizens have also seen a surge of crypto related scams so the government is doing everything they can to secure their investors.

In June 2022, all the Korean exchanges formed an alliance called Digital Asset Exchange Alliance (DAXA) after the collapse of Terraform Lab. The DAXA comprises of crypto exchanges like Upbit, Bithumb, Coinone, Korbit, and Gopax. In addition to the alliance, a bill in National Assembly has been passed in June to become crypto law this year. Kim Ik-hyun, a partner at Yulchon, said that it is essential for South Korean government to protect their citizens and investors as soon as possible.

On the other hand, Hong Kong is currently facing a struggle between wanting to become a crypto hub and protecting the investors from scammers. Last year, according to FT, there had been 67% increase in crypto scams cases and it is estimated that the fraud cases relieved around $217 million from Hong Kong's citizens. Therefore the lawyers are stepping in to balance out the priorities between protecting the investors and supporting innovation.



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