The South Korean Financial Supervisory Service (FSS) has a new governor. The country’s President Moon Jae-in has approved the nomination of Yoon Suk-heun to lead the government agency overseeing cryptocurrency regulations after the former FSS head Kim Ki-sik stepped down from the post.
Yoon’s appointment follows submission of his name by the Financial Services Commission (FSC), which the FSS falls under. He will officially start his work as FSS chief on May 8th, the Korea Times reported.
Yoon is considered a financial reformist in the Asian country, set the record straight from the word go during his inauguration. Responding to questions regarding cryptos, Yoon said that there are positive aspects about them, saying that enhancing regulations would produce a more stable financial system with better products and services.
The news outlet says that Yoon has previously called for adjustments of the existing regulations guiding the crypto market.
A Ray of Hope in the Crypto Market
Yoon stressed the need for clarity of the roles played by the FSS and FSC. He explained:
The FSS will collaborate with the FSC when an inspection on policies and financial institutions has different configurations associated with different scopes. FSC inspects policies, while the FSS examines and supervises financial institutions but with the oversight of the FSC.
During the event, Yoon did not go into details on any regulatory alterations that the FSS is working on for domestic cryptocurrency exchanges, urging for patience as the process will take some time to be finalized. He said,
There are a lot of issues that need to be addressed and reviewed. We can figure them out but gradually,
The new chief also said that regulation is good but it is even better when it is used to aid new businesses to grow. He also told the gathering that imposition of taxes on crypto exchanges and investors should be well articulated if it is necessary.
The inauguration of the new chief of the watchdog body will no doubt enlighten the market after months of turmoil and uncertainties.
Late last year, the country started a crackdown on local crypto trading platforms, demanding that they implement real-name verification of all traders before the end of January 2018.
Since the expiry of the grace period, the FSC has intensified its inspection at the exchanges to ensure they are compliant with anti-money laundering rules and guidelines.
Recently, CoinDesk reported that the ban on ICOs in the country could be lifted and the arrival of the new chief is expected to speed this process up.
Meanwhile Bitcoin News reports that an official of the largest cryptocurrency exchange in South Korea, Upbit, commented on Yoon’s new role, stating that,
“What the new FSS chief should think about is how the regulators should provide remedies to help crypto trading and blockchain technology get better”.
Image Credit: Deposit Photos
Do you think South Korea will ease cryptocurrency regulations? Let us know in the comments section below.