South Korean Officials Banned from Cryptocurrency Market


The South Korean Ministry of Personnel Management has issued a document called “Virtual currency holdings and transaction-related information for civil servants,” which limits the authorities from trading cryptos. As South Korean Officials banned from cryptocurrency market, how does the new law apply?

7 March, AtoZForex The South Korean government has reportedly banned its own officials from trading and holding any cryptocurrency. This is considered to be “the first time the government has formulated a virtual currency ban for all public officials.”

South Korean Officials Banned from Cryptocurrency Market

According to online reports, the Ministry of Personnel Management has issued a document called “Virtual currency holdings and transaction-related information for civil servants.” It is stating that authorities that are spotted to be involved in cryptocurrency trading are “in violation of the prohibition of forbearance obligations under the civil servants’ law.” These officials are subject to disciplinary actions, especially in case all the banned activities take place during work hours.

In addition, the statement also mentions that the ban will be applicable to all of the government ministries. It reads:

“Even if there is no job relevance could be subject to discipline.”

South Korea Cryptocurrency Stance

The official stance in regards to the cryptocurrency market in South Korea has been somewhat unclear at times. In the middle of February, South Korean officials were planning to adopt an approval system for cryptocurrency exchanges similar to the New York’s BitLicense system. The authorities were considering the approval system as a part of a digital currency taskforce job.

Then, the government of South Korea has announced that its regulatory direction on cryptocurrencies is aiming to “prevent any illegal acts or uncertainties.”

Moreover, according to the local news reports, the governor of the Financial Supervisory Service (FSS), Choe Heung-sik has stated that the South Korean officials “will support if normal transactions are made.”

Following a series of mixed signals from the South Korean officials, local media reports are now claiming that the authorities turned positive in regards to the cryptocurrency markets.

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