South Korean cryptocurrencies will launch a joint advisory body

In South Korea, the five largest cryptocurrencies will launch a joint advisory body to make decisions, according to YNA.

The advisory body will include Upbit, Bithumb, CoinOne, Cobit and Gopax. It will start operating in the second half of 2022.

The board of directors will include the heads of all exchanges, and it will be divided into three sectors:

  • Transaction support;
  • Market surveillance;
  • Compliance monitoring.

All three sectors will have relevant staff and will gather expertise through seminars and case studies.

The purpose of the merger is to establish common selection criteria related to trade support (listing) and “Restore the fairness of the virtual assets market and protect investors” by setting and improving standards in this area.

Thus, uniform criteria will be developed for deciding on exclusion from the list of certain cryptocurrencies, assessment of money laundering, issuance outside the scope of information disclosure, sudden fluctuations in turnover or price, and so on.

The formation of the body was first announced on June 13 at a party-government meeting held in the National Assembly of South Korea. Representatives of this structure also published a road map for the remaining part of 2022.

By September, the advisory body will set up a notification system for cryptocurrencies and delisting criteria. He will also evaluate cryptocurrencies and provide white papers.

An advisory body set up primarily to prevent a recurrence of a Terra-like incident (UST) will also decide to suspend cryptocurrency deposits and withdraw funds in the event of another such incident.

By October, guidelines for conducting a listing audit will be developed, and cryptocurrency risk assessment will be introduced.

By January 2023, new crypto-investors will be involved, who will pass the relevant educational videos and strengthen protection.

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