Regulations Regarding Digital Asset Investment to Be Simplified

The incoming government will legalize initial coin offering.

The Presidential Transition Committee announced on May 3 that it would legalize initial coin offering and adopt different regulations after classifying virtual assets into securities- and non-securities types.

“The Financial Services Commission will be in charge of these policies and regulations will be reduced regarding digital asset investment,” it said, adding, “Initial coin offering will be legalized starting from those with sufficient investor protection measures and, at the same time, a new law will be enacted so that NFT issuance and transactions can be conducted with stability.”

When it comes to the classification, securities-type digital assets are likely to be covered by the Financial Investment Services and Capital Markets Act. In the case of non-securities-type coins for settlement and payment and so on, pending bills are likely to be discussed for system establishment.

At present, a total of 13 bills are pending with regard to enactment and revision related to virtual assets. Those are basically based on the Financial Investment Services and Capital Markets Act and details are similar to those related to marketable securities.

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