South Korea has become one of the main markets for cryptocurrency, yielding, probably, only Japan and China. Therefore, it is not surprising that the government was forced to deal with the regulation of a new industry that gained popularity in just a few months, after the outflow of traders and start-ups from China.
Today, after a few weeks of panic and confusion among Korean traders and investors, who fear a complete state ban on cryptocurrency trading (similar to China’s tough action in blocking virtual coin platforms), South Korea's finance minister said that the government is not going to set barriers to the cryptocurrency market.
As it is indicated in the report by Reuters, South Korea’s finance minister Kim Dong-yeon said: «There is no intention to ban or suppress cryptocurrency market».
He also commented on contradictory statements by government officials from several ministries who partly supported and partly rejected the ban on the cryptocurrency exchanges, which was proposed by the Korea’s Justice Ministry.
On the same day with proposing to shut down all domestic cryptocurrency exchanges, Korea’s justice ministry was forced to soften its stance on the ban proposal after the backlash and called it “not a finalized decision”. The Justice Ministry found little support from other governmental ministries including the Ministry of Finance which refused to support a trading ban on cryptocurrency market.