As the domestic virtual asset (cryptocurrency) market is overheating, the government plans to intensively crack down on illegal activities such as manipulation of cryptocurrency prices and tax evasion to prevent damage to investors.
On the afternoon of the 7th, the government held a meeting of ministries related to virtual assets at the Seoul Government Complex, presided over by Deputy Secretary of State Moon Seung-wook. The Financial Services Commission, the Ministry of Strategy and Finance, the Ministry of Justice, and the National Police Agency participated in this meeting.
“Virtual asset is not a legal currency or financial investment product, and no one can guarantee its value,” said Moon Seung-wook, the second deputy secretary of state. Warned.
As with the government’s concern, the domestic cryptocurrency market has recently produced a so-called’Kimchi Premium’, which is 5% to 15% more expensive than overseas, centering on bitcoin, and a risk warning light is on.
At around 3 pm today, the price of bitcoin, which had remained at the 78.8 million won level, began to drop suddenly, and traded at the 70.4 million won level, which fell 11% in just an hour and a half.
In this situation, the government plans to crack down on illegal activities related to transactions such as price manipulation, money laundering, and tax evasion in cooperation with the police, prosecutors and financial authorities to prevent excessive speculation of virtual assets.
To this end, the police are cracking down on illegal activities of domestic and foreign virtual assets. The police plan to crack down on illegal activities in Korea through the’Eradication Team for the Elimination of Infringements of the Common People’s Economy’, and cooperate with international organizations such as Interpol for illegal activities on virtual assets through overseas exchanges.
Finally, according to the revised’Law on Reporting and Use of Specific Financial Transaction Information, etc.’ (Special Law), which took effect on the 25th of last month, the government judged that there is a high possibility that some business operators would close their business, and urged them to be cautious about investing in cryptocurrency.
Second Deputy Secretary of State Moon Seung-wook said, “Investor damage cases are occurring due to crimes using real virtual assets. The government will monitor the situation in the virtual asset market and try to prevent damage to investors.”
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