South Korea’s central bank is moving forward with its national digital currency plans as it now looks for a technology supplier to design a pilot platform for the digital won. The Bank of Korea announced that it launched a bidding process to choose a tech partner for studying the practicalities of launching a central bank digital currency in a test environment, Reuters reported Monday. The BoK said that the latest move comes in response to fast changes in the global financial system, stating, “The share of cash transactions is decreasing significantly. The steps we are taking now are to prepare …

The Blockchain Research Institute (BRI) has revealed plans to expand into several continents mid-year through partnerships with several banks, foundations, and organizations. The independent global think-tank for distributed ledger research already operates in Europe and Brazil, and will establish hubs of innovation and research in new regional centers. The goal is to educate and strategize how blockchain and other emerging technologies can be implemented across business, government, and society. The Blockchain Research Institute is opening up an African branch in collaboration with Standard Bank Group, a financial institution that offers banking and financial services to individuals, institutions, and corporations in …

Bitcoin (BTC) was trading at $5,000 higher in South Korea than in other markets on Wednesday as capital flow controls continue to enforce the “kimchi premium.” While Bitcoin was trading at $39,932 on Coinbase at the time of publication, the price on the Korea-based Bithumb exchange stood at $45,115. According to a recent Bank of America statement, the kimchi premium is a result of capital flow controls aimed at stopping the cross-border transfer of “hot money,” reports Reuters. “The onshore price for cryptocurrencies in Korea is persistently above international prices suggesting this to be a result of effective capital control …

The Bank of Korea reportedly has plans to maintain strict oversight on crypto trading activity via real-name bank accounts. According to a report by The Korea Herald on Thursday, the BOK is seeking authority under Article 87 of the country’s central bank Act, stating: “We plan to utilize our legal authority over requesting document submittal from financial institutions to monitor the volume of cryptocurrency transactions made through bank accounts.” The above comments are reportedly from documents submitted by the BOK to lawmakers in the country, with the central bank wary of unlawful crypto transactions causing significant risks to internal monetary …

In South Korea, one in three citizens either own cryptocurrencies or get paid in them. One-tenth of its population trades digital assets, and its youth unemployment rate hovers above 10%. It’s a competitive job market in the East-Asian nation, where high expenses enforce hierarchical social structures, and financial stability can seem like a pipe dream. On matters of technology and innovation, South Korea is incredibly progressive. There’s been a lot of buzz around cryptocurrencies since news of their existence became common knowledge in the country. Its open-minded attitude to technological progress could mean that the country will decide to regulate …

The Korea Federation of Banks has raised alarm over the increase in altcoin trading volumes across crypto exchanges in the country. According to a report by The Korea Herald on Monday, the banking association has asked member banks to conduct an audit on the altcoins being offered by their crypto exchange clients. The KFB is reportedly concerned about the potential risks of banks providing account services to exchanges overexposed to altcoins. An official of the banking association quoted by The Korea Herald explained: “One of the criteria that we recommend is the safety of digital assets and that can be …

Digital Currency Group, the venture capital firm behind some of the biggest companies in blockchain, has become the second-largest shareholder of Streami, a leading cryptocurrency exchange operator in South Korea. Barry Silbert, founder and CEO of Digital Currency Group, explained his rationale for backing Streami: “We expanded our investment in Streami because of their fantastic team and the incredible potential of the digital asset market in South Korea. Streami provides the critical foundation for this market to scale rapidly, and our investment will fuel its position as the most trusted digital asset platform in Korea.” The investment includes a regional …

Crypto investors involved in cryptocurrency mining may enjoy a significant tax break when the country’s digital currency tax regime commences in 2022. According to a report by Pulse News, South Korea’s Ministry of Economy and Finance on Wednesday announced additional details of the country’s impending crypto tax law, which included a provision for crypto miners to report operating expenses as tax deductibles. These expenses cover electricity bills, with miners needing to prove how much electricity they utilize in their operations. While South Korea is not a major crypto mining hub, there have been reports of a significant uptick in cryptocurrency …

Financial regulators in South Korea have asked banks to provide information on their dealings with cryptocurrency firms, a local outlet reported on Wednesday, as authorities seek to determine how many cryptocurrency exchanges operate within the country’s borders. An unnamed regulatory body has requested that banks reveal the corporate accounts of cryptocurrency exchanges that haven’t already implemented real-name accounts for its cryptocurrency customers. Only the four largest exchanges in South Korea have thus far set up real-name accounts, while the rest have until now been operating under the radar. “Currently, cryptocurrency exchanges can operate without permission from the government, which is …

An opinion poll conducted by South Korean television station YTN has shown significant support for the planned cryptocurrency tax regime in the country. According to a report by The Korea Herald, 53.7% of the 500 participants polled by South Korea survey firm Realmeter expressed support for the crypto tax law coming into effect in January 2022. However, respondents in their 20s — the most active crypto trading age demographic in South Korea — were most likely to oppose the cryptocurrency tax law. Figures compiled by South Korean lawmaker Kwon Eun-hee show that an estimated 2.35 million crypto traders aged between …

The Naver News service in South Korea has reported that the country’s Financial Supervisory Service, or FSS, is set to approve a crypto-related fund application by Hanwha Asset Management, a subsidiary of South Korea’s insurance giant Hanwha Life Insurance. Quoting an official from the Korean Financial Investment Association, the report states that the FSS approval could arrive as early as Sunday. Dubbed “Digital Hero,” the fund will reportedly invest in crypto-related firms, including exchanges and mining establishments. Funds that invest directly in cryptocurrencies and listed securities, such as exchange-traded funds, are still banned in South Korea. Speaking to Seoul Economic …

Coinone, one of South Korea’s top four cryptocurrency exchanges, has reopened its offline customer center in Seoul. According to a report from The Korea Herald on Thursday, the center was initially opened back in September 2017 but had since been closed due to a company decision to focus on other business activities. Now, having seen new crypto exchange user registrations increase at a rate of 20 times above usual in the first quarter of this year, the exchange is resuming its offline services for customers. As of the end of this month, the Herald reports that Coinone has close to …