S.Korea trying to Spur Growth of Fintech

October 26, 2016 Taxation in South Korea

Blockchain legislation on South KoreaSEOUL – New legislation in Korea may help the rise of new technology for use in the finance industry.

On October 24th the Chairman of the Financial Services Commission (FSC) of Korea Yim Jong-yong presided over the opening of a new integrated financial technology portal, and announced that the government would soon take greater efforts to develop the national fintech industry.

A significant part of the developments which will be carried out by the government will revolve around new legislative efforts to define the term “digital currency” and to encourage greater implementation of black-chain technology in the innovative fintech industry.

The government hopes that a proper legal definition of “digital currency” will help alleviate the risks that the technology carries in regards to the possibility for tax evasion and money laundering.

The government is also supporting the establishment of a blackchain consortium to help establish the technology.

The Chairman explained that in the recent past the government has taken steps to eradicate “irrational” regulations which hindered the fintech industry, but now the government will move on to measures which would actively help the growth of the sector.