South Korea Rolls out Strict New Crypto Regulations

One of the Asia countries, South Korea, will start rolling out strict new crypto regulations in June. This is significant proof that the country is not playing anymore; the “buy-the-joke” era will end soon in South Korea.

Brief Insight into The South Korea New Crypto Regulation

According to concise checks, this new crypto regulation is indeed a strict one; the country really has no time for jokes. Here is a sneak peek of the new crypto regulation by Korea.

South Korea Rolls out Strict New Crypto Regulations
  1. The Nonprofits: Crypto enthusiasts belonging to the nonprofit category can sell their crypto only if they have five (5) years of audited financial. Not just that, another is if they have a donation review committee. What does this signify? It means, no 5 years of audited financial and donation review committee, then no selling.
  2. Exchanges: Talk about the crypto exchanges, they are not exempted, as South Korea rolls out strict new crypto regulation, which also reaches exchange platforms. The regulation states that exchanges can sell cryptocurrencies like “user-paid fees.” In addition, daily limits will also apply in this manner, Max 10% and only from the top 20 cryptocurrencies by market capitalization.
  3. Selling of Tokens: It also states that crypto exchange platforms will not be allowed to sell their tokens within their platforms.

Furthermore, the above information signifies that the country is ready to enforce strict measures on crypto traders within its domain.

South Korea Rolls out Strict New Crypto Regulations: How will this affect Meme coins & Zombie tokens?

From observations, this new regulation will lead to the delisting of meme coins and low-liquidity “zombie tokens. How? Here it is: if they don’t meet engagement or liquidity thresholds, then there are chances of delisting in all exchanges operating within South Korea. Utility is important, and these coins without clear utility will face more scrutiny.

Moreover, this will start in June, when exchanges and nonprofits will apply for real-name accounts in order to facilitate these sales. Later on, the FSC will extend real-name accounts to listed firms and professional investors.

Conclusion

The new crypto regulation will be effective starting from June, This new regulation will lead to the delisting of meme coins and low-liquidity “zombie tokens. The FSC will also extend real-name accounts to listed firms and professional investors. Don’t forget to subscribe and share with family and friends.