Politicians and lawyers have spearheaded a new round of calls for the South Korean government to modify or repeal its ban on initial coin offering (ICO). The calls were made at a blockchain policy meeting held in the National Assembly (South Korea’s parliament) and was chaired by influential MP Song Hee-kyung.
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Song is the former managing director of KT, one of the country’s largest telecommunications companies, and is now a member of parliament for the largest opposition party, the Freedom of Korea Party. He is also a member of several influential parliamentary committees.
She asked the government to create zones within the country where ICOs can be freely issued. According to news outlet News1, Song stated, “Special laws must be implemented and special blockchain and ICO zones must be designated, where all forms of ICO issuance should be allowed.”
Song’s views were echoed by Ahn Jung-joo, a South Korean Justice Department attorney, who News1 quotes as saying, “South Korea’s ban on ICOs has prevented more than 100 startups from doing business in this country, which has led to an exodus from South Korea to countries with more [progressive] ICO [legislation], such as Malta and Singapore. ”
The calls came just days after a separate meeting of parliamentarians urged ICO reform, calling on Seoul to provide support to the pro-crypto governor of Jeju Island, a semi-autonomous South Korean province that it hopes to use. your special legal status to start allowing ICO Issuance.
The South Korean government is preparing to respond to renewed calls from opposition MPs urging the executive to carry out ICO reforms, as reported. Science and ICT Minister You Young Min stated that he intended to consult with the regulatory Financial Supervision Commission before giving an official response.
Meanwhile, Singapore is the preferred choice for South Korean companies, with many of them launching their ICOs in the city-state so far this year. Singapore companies are reaping significant benefits from South Korea’s ban on ICOs. “It costs up to $ 270,000 in consulting and legal fees for a South Korean company to launch an ICO here. And on top of that, we have to pay our taxes to the Singapore government, not Seoul, ”according to the owner of a South Korean company that recently launched an ICO in Singapore.