Korean Supreme Court to Decide on Crypto Regulations

Korean lawyers from Seoul have filed an appeal accusing their government of “unconstitutional” infringement on property rights  
08 February 2018   441

At the end of December, a law firm filed their appeal through the Constitutional Court’s online system. This case against the South Korean government over cryptocurrency regulations has been referred to the country’s Supreme Court by the Constitutional Court.

The government insisted that the real-name system is based on the Banking Law and the Financial Information Act. If the court decides that the regulations are unconstitutional, all existing crypto regulations imposed by the government could be cancelled.

According to the lawyer Jeong Hee-chan, the regulation of the trade through administrative guidance without legal grounds is an infringement on people’s property rights. He agrees that crypto regulations are necessary but they should come after the implementation of related laws.

Starting from January 30 of 2018, all the unknown institutions that have virtual bank accounts were limited. This mandatory real-name system for cryptocurrency exchange accounts was implemented by the Finance Service Commission (FSC) in South Korea. According to this policy, traders are not allowed to make deposits in digital accounts if the name of their bank account does not match the account name in the crypto exchange.

Currently, only 8.21% of all virtual accounts at the country’s top four exchanges have been converted into real-name ones. Around 1.6 million accounts remain anonymous. Moreover, banks are only converting accounts for large exchanges such as Upbit, Bithumb, Coinone, and Korbit, leaving smaller exchanges with no way to use the real-name system.

The matter should be concluded within 180 days from the date of filing under the Constitutional Court Act which was on December 30. Therefore, the case is expected to conclude by the end of June.

Mt. Gox Trustee Can Sell 2000 BTC Soon

Possible sale of such a large batch can lead to a further fall of the bitcoin price
26 April 2018   167

Head of the Board of Trustees of MtGox, Nobuaki Kobayashi, is probably preparing to sell a new batch of bitcoins, this time at a rate of 2,000 BTC.

This assumption was made by the bitcoin-investor and the head of the Altana Digital Currency Fund, Alistair Milne. In support of his words, he brought to Twitter a link to the trustee's MtGox address.

Alistair Milne Twitter
Alistair Milne Twitter

Apparently, on the morning of Thursday, April 26, from the address indicated, 2,000 were transferred to another address. Some of the funds that were there before (8,000 BTC) were almost immediately expended.

Possible simultaneous sale of such a large batch can lead to a further drawdown of the bitcoin price.

Bitcoin Price Chart
Bitcoin Price Chart

Trading on Wednesday evening at around $ 9,000, on the night of Thursday, the first crypto currency continued the decline started yesterday, dropping at a certain point to $ 8,650. At the time of publication, however, there has been a slight increase - according to Coinmarketcap, the weighted average bitcoine rate at that time is $ 8 790.