The Bank of Korea saw the need to allow initial offerings (ICOs) of crypto assets within the country, according to local publication Infomax. The Korean Central Bank has published the Korean translation of the EU Markets in Crypto-assets (MiCA) Bill and a message to it, which states that the regulation of transactions in digital currencies is ineffective due to the ban on ICOs.
Local companies create firms and issue cryptocurrencies in other countries, the report says. Thus, crypto-currency issuers, such as Terra (Singapore) and Paycoin (Switzerland), were out of the spotlight of regulators when placing their assets on domestic Korean exchanges.
When the main law on digital assets is passed, it will be necessary to allow ICOs, while a system that approves transactions through the internal listing of crypto assets issued abroad can be used, the report says. As a result, the bank expects to see the development of related industries and increase the safety of investors.
At the end of June, the Seoul Southern District Prosecutor's Office banned key Terra developers from leaving the country in connection with the investigation into the collapse of the UST and LUNA cryptocurrencies. Project founder Do Kwon is based in Singapore.
The Wall Street Stock Exchange gave up its early session gains, after the publication of data on employment and consumer confidence which could support the intentions of the Fed in terms of monetary tightening.