South Korea bans bitcoin futures

The financial regulator of South Korea banned securities firms to introduce bitcoin futures trading
08 December 2017   540

On Wednesday, the Financial Services Commission of Korea issued the directive that bans securities firms from intermediating bitcoin futures transactions. Financial regulator doesn’t recognize bitcoin as an underlying asset of derivative products so bitcoin cannot be a subject for futures trading.

Two companies, eBest Investment & Securities Co. and Shinhan Financial Investment Co. planned to introduce bitcoin futures trading, but now they canceled seminars for bitcoin futures investors slated for the 14th and the 15th, respectively.

It is the first time for the South Korean authorities to ban trading a specific item. It seems that they made such decision worrying about if it gets out of control as they haven’t taken a position on cryptocurrency.

 

The Financial Services Commission of Korea statement

The news comes as Futures Industry Association (FIA) chief executive Walt Lukken said in an open letter to the Commodity Futures Trading Commission that FIA members are concerned that they will have to pay for any outstanding contracts caused by price changes in bitcoin, rather than the groups which are actually selling the futures products.

Poland’s Central Bank Sponsored Anti-Crypto Campaign

The Central Bank of Poland has admitted to sponsoring a smear campaign against cryptocurrencies on social networks
21 February 2018   38

According to a Polish news portal, the anti-crypto campaign was orchestrated by Youtube blogger from Poland, Gamellon. For this campaign, the Central Bank of Poland had spent 91,000 Zloty (about $27,000).

At the time of writing this article, this video has over 500,000 views and has not been marked as a paid promotion.

Gamellon used the hashtag #uważajnakryptowaluty, which stands for a website set up by the Polish government to warn users about cryptocurrencies. According to this site, there are several reasons on why users should be wary of cryptocurrencies.

Another blogger Planeta Faktów published a sponsored video on their channel titled ’10 Differences between money and cryptocurrency that you need to know’. It also has the same hashtag, #uważajnakryptowaluty. But unlike Gamellon ’s video, this one has an ‘Includes Paid Promotion’ tag at the start of the video.

There is no law against cryptocurrencies in Poland. But it is illegal to create sponsored content without explicitly mentioning it.