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The Presidential Committee of Korea Pushes to Make Cryptocurrency Mainstream

A committee of South Korea directly under the head of the state recommended various measures to the government that would ensure the mainstream of cryptocurrency, highlighting that it is no longer likely to halt crypto asset trade. The committee recommended assimilating crypto into the nation’s financial system, allowing monetary institutions to provide a range of crypto products. This would include derivatives, listing Bitcoin on the nation’s stock exchange, and more. 

The Committee of President Pushes for Measures of Pro-Crypto

The Presidential Committee of South Korea on the Fourth Industrial Revolution that is directly under the Head of The State proposed several pro-crypto actions to the government. The committee wishes the government to assimilate cryptocurrency into the nation’s monetary system. This would pave the way for financial institutions to handle directly and provide a wide variety of crypto-focused products. The suggestions outlined in a document recently published by the committee. 

Business Korea reported on January 6, elaborating that amongst the recommendations permitting monetary institutions to provide their products related to cryptocurrency like Bitcoin derivatives. This acts as a medium and long-term plan for the institutionalization of the cryptocurrency. Business Korea elaborated that the commission counseled the government of Korea to permit monetary syndicates in releasing forthcoming products based on the prices of Bitcoin, just as the financial authorities of the United States of America did. 

Apart from debuting Bitcoin derivatives in South Korea, the committee of the president proposed listing Bitcoin directly on Korea Exchange (KRX), the only securities exchange operator in the nation. 

The United States of America Commodity Futures Trading Commission (CFTC) approved various crypto derivatives products. The CME group offered BTC futures and is set to provide options on the prospects of BTC on January 13. Bakkt, which is a digital finance platform, geared by Intercontinental Exchange Inc. (ICE), the maternal company of the Stock Exchange of New York started offering physically settled features of Bitcoin in September 2019. In December, the initiative launched an option on the futures of Bitcoin. During the same month, another regulated initiative, Erisx, started its physically settled features of Bitcoin. Ledgerix is another regulated podium that offers Bitcoin options trading. 

Other Recommendations

The committee of the president additionally counseled the government to familiarize licenses of business or guidelines for crypto exchanges, quoting initiatives by the monetary authorities in the United States of America and Switzerland. 

Martin Hill