ICOs, Blockchain High on Agenda of Korea's National Assembly Extraordinary Session

An extraordinary session of the National Assembly has kicked off. During the short session, standing committees and political parties will discuss measures to promote the blockchain and cryptocurrency industry and create a guideline on initial coin offerings (ICOs). They will also discuss the proposal to designate Jeju Island as a special zone for global blockchain and cryptocurrencies.

Earlier, Democracy and Peace Party lawmaker Kim Kyung-jin and Liberty Korea Party lawmaker Song Hee-kyung, who are members on the Science, ICT, Broadcasting, and Communications Committee of the National Assembly, called for the Ministry of Science and ICT to prepare an ICO guideline for investor protection. In response, the ministry is going to make a report on the preparedness of South Korean cryptocurrency exchanges against cyber security threats.

Under the circumstances, discussions to allow ICOs are expected to gain momentum along with preparations of investor protection measures and organization of a task force to establish order in cryptocurrency trading. In this regard, the National Assembly Research Service already released a report noting the need to clarify the legal definition of cryptocurrencies before allowing ICOs.

In the meantime, the Bareunmirae Party holds a policy discussion on Aug. 21 on blockchain-based political parties in the era of Industry 4.0. The discussion is likely to focus on a lower-cost and higher-efficiency political party structure based on blockchain technology. The discussion is scheduled to be attended by industrial and academic experts including Blocko director Kim Jong-hwan. Bareunmirae Party lawmaker Jung Byung-kuk is preparing a discussion on ICO guidelines, too.

“The South Korean government prohibited all types of ICO in September last year and has come up with no related policy since then,” said an industry insider, adding, “The entire industry is paying much attention to how its stance will change through various discussions in the National Assembly.”