Last week, the Financial Services Commission (FSC) said, “This financial regulator will exclusively announce a department for policy making strategy in the blockchain industry”.
The regulators are planning to restructure the policy initiatives related to cryptocurrency. This will accompany the financial innovation in the imminent “Fourth Industrial Revolution era”.
The FSC has established “the Financial Innovation Bureau”, a new bureau devoted to cryptocurrency financial innovations. This decision was taken during the meeting of the FSC cabinet with the Ministry of the Interior & Safety.
The New Bureau- Financial Innovation Bureau
Financial Innovation Bureau is a temporary body with a two-year lifespan. The new bureau will help to foster Korea’s Fintech industry, covering the majority of the cryptocurrencies with blockchain technology- said by FSC.
Quoting that the FSC is planning “a major organizational reshuffle to better protect financial consumers” They elaborated:
The new Financial Innovation Bureau will also be tasked with policy initiatives for financial innovation, such as innovating financial services using Fintech or big data, and responses to new developments and challenges such as cryptocurrencies.
Recent Accomplishments by South Korea
This is not for the first time that Korea to take a new step towards overall advancement. They have already played their move prior to the competitors such as:
On Jan, the Korean’s cooperation on regulations with China and Japan to address cryptocurrency speculations.
Back in Feb, their discussion with China’s Central Bank on the economic policies regarding cryptocurrency countermeasures.
In the 1st half of July, FSC revealed new cryptocurrency regulatory framework for legitimate trading. Currently, the FSC announced the agreement with China for cryptocurrency and initial coin offerings.
The Integration of the Financial Supervisory Cooperation Agreement
Last week, “Yoo Kwang-yeol”- the South Korea’s 1st Senior Deputy Governor of Financial Supervisory Service (FSS) has a meeting with the Deputy Chairman of the Insurance Supervision and Management Committee (ISMC) of the Bank of China.
Finally, both the authorities acknowledged integrating the Financial Supervisory Cooperation Agreement. However, initiative began with the establishment of Korean insurance companies in China. The FSS authority said:
In a meeting with the China Securities Regulatory Commission, a cooperative channel was set up, including the establishment of a working-level hotline … it will jointly respond to new emerging global supervisory and regulatory issues such as international financial regulation, virtual currency, ICO [initial coin offering] and Fintech.
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Image Source: South Korea