South Korea – Yesterday, South Korea’s National Assembly proposed to allow domestic initial coin offerings (ICOs) again. Back in September of last year, the government banned all ICOs and since, the country has taken a hit. Due to the ban, South Korean companies have been moving to other countries to launch token sales – specifically crypto-friendly Singapore and Switzerland.
The National Assembly is composed of 300 members and meet to discuss national legislature. The news outlet, Business Korea, announced this morning that the assembly has called on the South Korean government to lift the ban on initial coin offerings.
Business Korea elaborated:
“The National Assembly has officially made a proposal to allow domestic initial coin offerings (ICOs). As the administration is sitting on its hands after imposing a total ban on ICOs in September last year, the National Assembly has come forward with an official recommendation.”
The next steps going forward would mean the administration would need to discuss the proposal with the Assembly.
The special committee on the fourth industrial revolution that sits under the National Assembly even accused the government of ‘neglecting its duty,’ the report suggests. The committee feels the country did a poor job of handling the ‘expansion of blockchain application.’ It remains unknown if the South Korean companies that have moved overseas will transfer back to the country if the ban is lifted.
The fourth industrial revolution committee said:
“We need to form a task force including private experts in order to improve transparency of cryptocurrency trading and establish a healthy trade order. The administration also needs to consider setting up a new committee and building governance systems at its level in a bid to systematically make blockchain policy and efficiently provide industrial support. We will also establish a legal basis for cryptocurrency trading, including permission of ICOs, through the National Assembly Standing Committee.”
This new legislative effort came to light earlier this month when a group of lawmakers began drafting a bill to allow the launch of new initial coin offerings in the country. The tides are shifting in South Korea, as major exchanges in the country are now complying with global auhtority and just recently, Bithumb banned 11 countries from using its platform.
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