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South Korea pushes crypto exchanges to a new level

06 July 2018 19:13, UTC

The government of South Korea has officially published the first version of a document categorizing crypto exchanges. From now on, they are classified as “Cryptocurrency Exchange and Brokerage.” Previously, crypto exchanges had been classified as “Communications Vendors.”

Thus, the regulating force practically recognizes crypto exchanges as legal personalities and strengthens their position to perform at a large capacity with support from local authorities.

The blockchain platforms are under classification from now on too, defined as “Blockchain-based software supply and development businesses.” This includes EOS, Ethereum, etc. Though, the final standard of the classification is to be released at the end of July, with various subdivisions. In order to regulate the standards, the authorities plan to consider the data of a global market survey. This will include the opinion of more than 160 organizations closely connected with the crypto sphere.

The recognition of crypto exchanges as regulated financial businesses creates a new industry. It is a significant milestone for the country. This decision, made by the government of South Korea, is a positive step: from the beginning of the year, the authorities were not as friendly as they are now.