The Bank of Korea Publishes Translation of EU Cryptocurrency Market Legislation

[Image source=Yonhap News]

[Asia Economy Reporter Seo So-jung] The Bank of Korea announced on the 29th that it has translated and published the full text of the cryptocurrency market legislation (MiCA) announced by the European Union (EU) Parliament on March 17.

MiCA is the world's first standalone legislation related to cryptocurrency assets and is expected to serve as a reference in the legislative process concerning digital assets in South Korea going forward.

The Bank of Korea explained that it added a translation of the recently announced amended bill based on the translation of the initial draft (September 2020) by Professor Cheon Chang-min of Seoul National University of Science and Technology.

Regarding the implications of MiCA, a Bank of Korea official said, "When enacting the Digital Asset Basic Act, it is necessary to refer to MiCA and prepare differentiated regulatory measures by type, considering the characteristics of each cryptocurrency."

He also added, "For trading-type cryptocurrencies such as Bitcoin, which aim for trading profits and value storage, investor protection regulations should be applied to cryptocurrency service providers, and safeguards should be established to ensure transaction transparency in the cryptocurrency market," emphasizing that "close cooperation among related authorities such as the Bank of Korea, Ministry of Economy and Finance, Financial Services Commission, and Financial Supervisory Service is necessary regarding the enactment of the Digital Asset Basic Act."

This content was produced with the assistance of AI translation services.