Korean Bar Association (KBA) is going to create ‘legal map’ for industries that are based on blockchain technology.
Startup Regulation Innovation Special Committee, which is under KBA (Chairman Kim Hyeon), recently set up a blockchain taskforce (TF) within its group.
This TF is going to first start research on laws and systems regarding ecosystems of industries based on blockchain. It is going to establish a system so that it can provide support immediately whenever there are legal problems from different industries.
Blockchain is considered as an important infrastructure for Industry 4.0 and its biggest strength is ‘decentralization’. Through decentralization, it enhances security and transparency. Based on these characteristics, it can be used for various industries such as finance, medicine, distribution, education, and agriculture.
TF also deals with ICO (Initial Coin Offering), which is currently at the center of controversies. Just like how stock firms and investment organizations oversee IPO (Initial Public Offering), it similarly creates an ICO environment. It is thinking about ways to secure public confidence towards ICO.
Although South Korean Government has clarified foundation for promoting blockchain industry, it has been showing negative stance towards cryptocurrency and ICO. Relevant industries claim that blockchain ecosystem cannot develop without compensation and payment methods such as cryptocurrency.
TF is divided into three branches to increase speed of solving tasks. One of the branches deals with research on basic blockchain acts to vitalize relevant industries and to protect investors.
Another branch deals with problems regarding ICO, exchange, and opening of virtual accounts. Last branch deals with blockchain ecosystem in general including tax affair and tariff.
TF is also working on cooperation between various private blockchain groups with government institutions and it is preparing to hold a meeting with The National Assembly soon. It is contemplating to meet up with Bithumb and Upbit, which are top two exchanges in South Korea, and it is working to improve people’s perception towards cryptocurrency.
Program Director Hong Sae-wook of KBA was appointed as the first chairman of this TF while attorney Choi Sung-ho has taken the position of vice-chairman. First meeting for TF included Chairman Kim Soo-jin of Startup Regulation Innovation Special Committee and Vice-Chairman Baek Seung-jae of KBA.
“Biggest blockchain project from legal circles has just started.” said Chairman Hong. “We are going to create a healthy ecosystem for blockchain industry by actively supporting innovative companies.”
Staff Reporter Choi, Jonghee | choijh@etnews.com