In an intriguing display of regulatory proactiveness, Upbit, the premier crypto exchange in South Korea, has recently published a comprehensive Korean translation of the EU’s groundbreaking cryptocurrency regulation rules, MiCA. The significance of this move, albeit subtle, may be indicative of the global influence the EU’s Markets in Crypto-Assets (MiCA) regulations could soon come to hold.
Regulations akin to the MiCA have already found their footing in nations like Ukraine. If Upbit’s actions are anything to go by, one might deduce that South Korean exchanges are more than just aware of the EU’s laws—they might be set on adopting similar measures. Historically, Seoul has drawn crypto regulation inspiration from the US and other nations. However, the seemingly convoluted stance of Washington on crypto might lead Seoul to follow the regulation principles of Brussels instead.
South Korea can hardly be deemed a stranger to crypto laws. Amid continuous upheavals surrounding the Coin Gate scandal, the country’s lawmakers have signaled the staunch intention to fortify crypto laws. The undercurrent of this regulatory tightening can be traced back to Upbit’s Investor Protection Center’s decision to upload a sequence of in-depth MiCA explanatory videos last month, carving a clearer regulatory path for crypto enthusiasts and investors.
Lee Hae-bung, the Head of Upbit’s Investor Protection Center, proclaims that MiCA is a regulatory framework with far-reaching influence. In his view, South Korea must transcend its elementary virtual asset user protection law to usher in the next iteration of legislation. He strongly suggests that MiCA should be examined closely as a reference. Lee’s assertion that MiCA has evolved into a global standard for crypto regulations does seem to hold merit.
This adoption—and possible adaptation—of EU-inspired crypto regulations in South Korea could set an interesting precedent in international cyberspace. If South Korea does choose the ‘MiCA way,’ it could be seen as a tacit endorsement of the EU’s regulatory actions in the crypto sphere, thus potentially influencing other nations to take a similar route. Nonetheless, it remains to be seen how this crypto chess game unfolds. The moves made by players such as Upbit and South Korea will no doubt strongly shape the future of the sector.
Source: Cryptonews
