【Youth Daily】 As big tech companies such as Kakao and Naver are about to enter the financial industry, voices have been raised that the management and supervision system for them should be further strengthened.
This means that for fair competition, it is necessary to effectively regulate the domination of the financial markets of big tech companies based on tremendous technology and funds.
At a debate on the amendment to the Electronic Financial Transactions Act held in the conference room of the Financial Research Institute in Jung-gu, Seoul, on the afternoon of the 18th, Research Fellow Lee Soon-ho of the Financial Research Institute insisted that “Big Tech’s entry into the financial industry should be strengthened.
Researcher Lee said, “Overseas, discussions are actively taking place on the establishment of a separate supervisory body to reinforce the regulation of big tech behavior. As big tech advances into the financial industry and the emergence of financial platforms spreads, their abuse of market power By effectively blocking it, you have to drive competition and innovation.”
Jeong Seong-gu, a lawyer at Kim & Chang Law Firm, told the Financial Services Commission that “the government’s regulation is necessary in terms of consumer protection, but if the regulation is strong, competition will weaken.” Suggested.
In addition, regarding the establishment of the Electronic Payments and Trade Administration industry with the revised bill of the Fund Act, Lee said, “The user protection function is strengthened by the involvement of a publicly trusted external clearing organization for user deposits handled internally by Big Tech.”
Han-jin Lee, head of the electronic finance department of the Financial Services Commission, said, “As revealed in the crisis in the private equity industry, if the supervision fails after deregulation, users or investors suffer damage and the overall trust in the industry collapses.” He expressed the inevitability of introducing liquidation.
The amendment to the Electronic Financial Transactions Act, initiated by Democratic Party lawmaker Yoon Gwan-seok, contains details on controlling financial transactions of big tech companies such as Naver and Kakao.
In order to effectively cope with financial accidents that may occur as the number of big tech users increases, it is the key to manage financial payment details at an external institution, the KFTC.
However, the Bank of Korea last 17 days, “The revised bill is the Big Brother (Social Monitoring and Control Power) Act” and said, “This is to install CCTV (closed circuit TV) in all households to prevent domestic violence and to watch.” did.
About the conflict between the Financial Services Commission and the Bank of Korea, most of the debaters who attended this day showed that the BOK’s concerns were excessive.
Attorney Jeong Seong-gu said, “The KFTC is still handling 9 billion cases of personal information per day related to the operation of the financial settlement network and Giro.” “There are special rules in the law to prevent misuse of information and strengthen security by clearing institutions.” Refuted.
Seong-won Jang, Secretary General of the Korea Fintech Industry Association, also said, “The BOK can build other systems that fit the purpose without touching the payment system, but the collection of internal Big Tech payment information through a system other than the KFTC is also considered’Big Brother’. It is contradictory in that it can be done.
Professor Kyung-jin Choi of Gachon University said, “It is unavoidable in the future society that personal information is processed in a large amount. When it is processed for a desirable purpose, rather than focusing on the problem of collecting personal information, You need to focus on things,” he advised.
【Youth Daily = Reporter Inara】