The lobby of South Korea's cryptocurrency exchange operators said Friday it will make efforts to ensure the government does not excessively restrict the trading of virtual currencies.
The Seoul government has been striving to rein in the virtual currency frenzy in Asia's fourth-largest economy while contemplating a bill to ban cryptocurrency exchanges.
Amid concerns over a bubble, the government last month banned the opening of new virtual accounts for cryptocurrency investors and required virtual currency traders to change their virtual accounts to real-name ones.
Bitcoin, ethereum and other cryptocurrencies have rapidly gained popularity among South Korean investors recently as a means of making quick money.
 |
Chin Dae-je, chairman of the Korean Blockchain Industry Association, speaks at an inaugural ceremony in Seoul on Jan. 26, 2018. (Yonhap) |
South Korea is home to one of the world's biggest private bitcoin exchanges, with more than 2 million people estimated to own some of the best-known digital currency.
"I will focus on persuading the government not to excessively regulate in order to stave off adverse effects on cryptocurrency trading," Chin Dae-je, chairman of the Korean Blockchain Industry Association, said at an inaugural ceremony. "We will try to develop a sound ecosystem for the cryptocurrency industry."
Chin expressed concerns about the virtual currency buying spree in the country, adding that his association will establish an information system to let people know about what cryptocurrencies are.
The association -- which consists of 66 virtual currency exchange operators and blockchain-related firms -- will also look into the legitimacy of the theory that cryptocurrencies will eventually replace legal tender, he said.
The association will also come up with self-regulatory measures by the end of June to improve transparency in trading.
Jhun Ha-jin, head of the association's self-regulation committee, dismissed the move by the government to shut down virtual currency exchanges as a "result of the government's failure to properly understand the blockchain ecosystem."
"It is problematic for the government to meddle into the investment activities of individuals," Jhun said. "Twenty years after the start of the Internet era and the buying spree (of Internet firms), it now has become a major industry of South Korea. I am convinced blockchain will take less time to take a root as a future industry of South Korea." (Yonhap)
![[Weekender] Korea's traditional sauce culture gains global recognition](http://res.heraldm.com/phpwas/restmb_idxmake.php?idx=644&simg=/content/image/2024/11/21/20241121050153_0.jpg)
