Samsung Securities along with six other brokers have applied to launch cryptocurrency exchanges in South Korea in 2023.
According to the local news agency NewsPim, seven large national companies in South Korea have applied to establish exchanges for Bitcoin and other cryptocurrencies next year. The report names Samsung Securities, the financial arm of the Samsung Group, and Mirae Asset Securities as two of the companies seeking preliminary approval to operate exchanges by the first half of 2023. Mirae is South Korea’s largest investment bank for market capitalization, with $ 648 billion in assets under management. Mirae is looking to integrate technical staff for research and development of Bitcoin and blockchain based platforms.
Samsung is conducting similar studies on how best to enter the Bitcoin and cryptocurrency ecosystem. Last year he attempted to lead the development of a cryptocurrency trading platform, but unfortunately failed to acquire the necessary staff to do so. The report states that Samsung Securities is looking for the best way to provide South Korean clients with cryptocurrencies, NFTs, and possibly tokenized securities.
The news reported that regulations in the country could change following the election of Yun Suk-Yeol as president. Suk-Yeol led a campaign that promised greater economic stability for all social classes, a change in diplomatic relations with China and the implementation of pro-crypto policies.
Under his new leadership, the South Korean government is working on a legislative project to provide the industry with clear regulatory frameworks. The regulation is called the “Virtual Currency Business Rights Act” and South Korea’s major securities firms are preparing for its approval. The law should clarify which digital assets are securities and which are not security tokens. The classification will also distinguish between digital asset custody services, portfolio services and others.
Although South Korea is apparently easing restrictions on digital assets, authorities have targeted several cryptocurrency exchanges for wrongdoing. Last week, the government took action against sixteen unregistered exchanges operating in the country.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial or other advice.