Lawmakers recently called for the Bill to take effect within two months.
South Korea passes bill to make officials disclose Bitcoin holdings
The “Kim Nam-guk Prevention Law” comes in response to a scandal involving some National Assembly members moving large amounts of crypto.
Bail revoked for Do Kwon after prosecutors in Montenegro appeal: Report
Kwon and former chief financial officer Han Chong-joon reportedly lived in Serbia before they were caught trying to leave neighboring Montenegro using false documents.
South Korea’s Ruling Party Calls to Expedite Bill on Lawmakers’ Crypto Disclosures: Report
The leader of South Korea’s ruling People Power Party wants a new bill requiring lawmakers and high-level government officials to declare their cryptocurrency-related assets to be implemented within two months.
G7 discusses crypto, supports CBDC — Law Decoded, May 15–22
The European Council has approved updated rules that extend tax reporting requirements to include transfers of crypto assets.
South Korea to vote on bill requiring crypto asset disclosure for lawmakers
A recent political scandal has prompted the proposal of legislation intended to ensure South Korean officials report all digital asset holdings above roughly $760.
Crypto Regulation In South Korea Under Scrutiny Following Gruesome Murder Case
Crypto regulation is gaining momentum in South Korea as lawmakers seek to impose stricter rules on digital assets in response to a shocking murder case linked to cryptocurrency.
In a tragic incident reported by Bloomberg, a Korean woman was kidnapped and subsequently killed in what appears to be a dispute arising from losses related to crypto.
The gravity of the crime, which reportedly took place late March, has placed the spotlight on the efforts of lawmakers to expedite the country’s inaugural standalone crypto bill, which may soon undergo a parliamentary vote, potentially as early as this month.
The incident has underscored the need for comprehensive regulatory measures to address the risks and challenges associated with the burgeoning crypto industry.
On Focus: Virtual Asset User Protection Bill
This event has prompted lawmakers to accelerate the passage of the nation’s inaugural standalone crypto bill, known as the Virtual Asset User Protection Bill, which consolidates 19 different crypto-related measures into a single comprehensive legislation.
A draft version of the bill, obtained by Bloomberg, reveals that it aims to establish precise legal definitions for virtual assets and introduce penalties for offenses such as insider trading and market manipulation.
Furthermore, the proposed legislation seeks to grant the Financial Services Commission in South Korea the authority to supervise cryptocurrency companies and oversee the custody of digital assets.
Different Regulatory Paths For Crypto, Securities Tokens
Under the new rules, cryptocurrencies like Bitcoin will be subject to the proposed regulations, while tokens categorized as securities by the government will continue to be governed by existing capital-markets laws.
By establishing clear guidelines for digital assets, South Korea aims to fortify the resilience of the crypto industry and protect investors from potential risks.
The bill’s provision for mandatory insurance coverage aims to provide a safety net for digital asset firms, shielding them from financial losses in the event of cyberattacks or breaches.
Additionally, the stricter rules on reserve funds and account keeping seek to ensure greater transparency and accountability within the cryptocurrency ecosystem.
The introduction of the Virtual Asset User Protection Bill comes at a crucial moment for South Korea as the nation grapples with growing apprehension surrounding the crypto industry.
Recent events, including the financial crimes committed by Do Kwon, co-founder and CEO of Singapore-based Terraform Labs, and the collapse of the Terra ecosystem, have heightened concerns and shed light on the urgent need for robust regulatory measures.
-Featured image from Showmetech
Montenegro prosecutors appeal against Do Kwon’s bail terms
Case files on the prosecutors’ appeal were sent to the Supreme Court in Podgorica for a decision.
South Korean prime minister calls for disclosure of crypto holdings by high-ranking officials
Prime Minister Han Deok-soo reportedly believes that including cryptocurrency in property registration is the right thing to do.
South Korean authorities raid Upbit, Bithumb crypto exchanges after political scandal
The raids came as a local lawmaker stepped down from politics amid accusations of allegedly selling millions in cryptocurrency before new laws were enforced.
South Korea Probes Crypto Exchanges Upbit, Bithumb on Ex-Lawmaker’s Transfers
Lawmaker Kim Nam-kuk resigned from the opposition party after his crypto transfers incited controversy.
Samsung to research South Korea’s CBDC for offline payments
The collaboration will have both parties researching the offline capabilities of the CBDC issued by South Korea’s central bank.
South Korea’s LG Electronics Files For NFT-Trading TV Patent
A recent report published on WIPO’s global database for intellectual property disclosed LG Electronics’ application to acquire an NFT trading patent for its Smart TV.
Notably, the WIPO guide states that a filing application can only be published after 18 months. As such, the South Korean tech company filed for the patent in November 2021. Now LG is awaiting the remaining steps to grant or deny the patent.
LG’s Technology Supports NFT Trading On Smart TV
The LG technology will enable users to connect their crypto wallet and an NFT market server for trading.
After connecting to the NFT server, users will see an onscreen QR code to enable them to transact through their crypto wallet.
Before this patent application, LG launched an NFT platform, “LG Art Lab marketplace,” in September 2022.
The platform launched on the Hedera network which allows all smart televisions running webOS 5.0 or the later versions to trade digital arts.
Users can buy and sell high-quality digital artwork on the Smart TV home screen. Also, the platform features “LG Art Lab Drops” to profile artists and preview new works intending to launch.
For now, the company hasn’t said whether the Smart TV will accommodate other wallet apps besides LG’s smartphone crypto wallet, Wallypto, which is also used on the Art Lab Marketplace.
Big Tech Companies To Integrate Web3 Solutions On Smart Devices
Besides the recent technology to support NFT trading on Smart television, LG plans to integrate other solutions on its devices.
The company partnered with cloud-based tech platforms, Oorbit and Pixelynx, to integrate Metaverse on big screens. Oorbit announced on Twitter, proclaiming its excitement about the partnership.
According to the reports, the partnership aims to bring “interoperable virtual worlds to LG TVs.” The partners will simplify the way consumers interact in the metaverse, ensuring immersive gaming and experiences in the virtual world.
Oorbit stated that scaling its technology for the millions of customers who use LG TVs is a great way to bring the metaverse closer to the people.
Before the partnership, LG had expanded its business development goals to include crypto and blockchain-based software development.
LG disclosed two plans based on the report during last year’s annual general meeting. The first objective is to develop and sell blockchain-based software, while the second is to sell and brokerage cryptocurrency.
There were hints and speculations that LG might launch a crypto exchange. But its spokesperson stated that the company hasn’t decided but just revealed its plans to branch out.
Apart from LG Electronics, Samsung has also become a big player in the NFT and Metaverse sectors through its venture capital arm, Samsung Next.
The electronics giant announced in early 2022 that its new smart TV product lineup, including Micro LED, The Frame, and QLED, will have an NFT marketplace.
-Featured Image Source: Pexels, Chart: TradingView
LG Electronics files patent for NFT-trading TV
The information was published on WIPO’s global database for intellectual property on May 11, 18 months after LG filed its application.
Do Kwon’s lawyers propose $436K bail as authorities prepare for June trial
Lawyers said Do Kwon and Han Chang-joon could be released on bail and largely confined to a Montenegro apartment with the “obligation to periodically report to the state authority.”
South Korean Authorities Investigate Lawmaker Over Alleged Crypto Transfers
There’s a rumor of a conflict of interest around the South Korean opposition lawmaker Kim Nam-Kuk over crypto transactions.
The growing domestic outrage alleged that Kim liquidated over $4 million worth of crypto assets before the lawmakers would enforce the Financial Action Task Force Travel Rule.
Lawmaker Moves Crypto Funds Before Implementation Of Law
A report from the news outlet, The Korea Times disclosed the joint investigation by the Korean authorities and the country’s Financial Intelligence Unit (FIU) on Kim.
The investigation is based on the allegation that Kim withdrew 800,000 WEMIX tokens between February and March 2022.
Between January and February 2022, Kim of the Democratic Party of Korea reportedly held 6 billion Won in his digital wallet.
However, the lawmaker was accused of transferring all his crypto holdings before the authorities could implement the Travel Rule on March 25, 2022.
It is important to note that regulations mandate all crypto service providers to disclose the personal information of investors involved in trades exceeding a value of 1 million Won in digital assets.
The FIU of the Financial Services Commission received the report concerning Kim’s withdrawals. The South Korean regulator classified them as suspicious transactions and reported them to the prosecutor’s office accordingly.
On his part, Kim Nam-Kuk denied cashing out his digital holdings, stating that he only moved the funds to another crypto exchange. Also, he maintained that he was not obligated to report such transactions by law.
The cybercitizens have condemned the act of the lawmaker who had positioned himself as a “poor” politician in the past. The Mayor of Daegu, Hong Joon-Pyo, commented that Kim should resign from his political position. The person expressed disappointment in the legislator’s actions, describing it as a serious moral problem.
The Mayor recalled that Kim was among those that delayed crypto taxation through legislative voting. This suggests that the lawmaker used his legislative position to cover personal gains in digital assets.
Government To Fix Loopholes In Disclosure For South Korean Public Officials
The Korean authorities are still investigating Kim’s alleged crypto holdings. According to The Korea Herald, the outcome of the investigation will play a vital role in deciding if public officials must disclose their crypto assets.
Related Reading: Bitcoin To Drop Further? Whales Show Signs Of Dumping
Such a move will mandate all public officials to include digital asset holdings in their asset reports or disclosures. Crypto investment has been a heated subject in South Korea and other parts of the world.
In the United States plans, some members of Congress want to pass a bill that will bar members from investing in digital assets and stocks. The Senators and representatives must disclose such investments in their assets reports, but nothing prevents them from trading them.
These investments have created controversy as many believe U.S. Congress members can benefit from insider trading without facing legal consequences. Just last week, a Democratic Congresswoman sold shares from the First Republic Bank just before financial behemoth JP Morgan acquired it.
Similarly, the Taiwanese government is considering extending disclosure reports of public officials to digital assets. Taiwon’s Ministry of Justice cited that the rule will ensure public servants disclose their crypto holdings.
Featured image from Pexels and chart from Tradingview
South Korean lawmaker allegedly cashed out while legislating on crypto: Report
National Assembly member Kim Nam-kuk had authority in handling laws related to digital assets in South Korea, reportedly backing a bill proposing a 20% crypto gains tax be deferred.
South Korea Authorities Investigate Lawmaker Over Suspicious Crypto Transfers: Report
Democratic Party lawmaker Kim Nam-kuk had reportedly co-sponsored a bill seeking to defer taxation on crypto profits.
Prosecutor says Do Kwon’s extradition to South Korea would best serve Terraform Labs’ victims: Report
The former Terraform Labs CEO could face 40 years in jail in South Korea, the country where he committed most of his crimes, according to local authorities.
South Korea’s sweeping crypto bill passes first regulatory hurdles
Legislators in South Korea passed a first phase review of proposed cryptocurrency regulations that include relatively harsh sentencing recommendations.
