A South Korean presidential commission is appealing to the government to give financial firms the opportunity to create products linked with cryptocurrency i.e. the Bitcoin derivatives, a local media in the country has reported.
The 4th Industrial Revolution Commission, a part of the Presidential Office, made the suggestions to the country’s government, proposing that they give room to crypto derivatives among other crypto-linked innovations, to enable Korea the opportunity to initiate medium and long term ideas for the industrialization of its economy.
Considering the growing adoption of blockchain and cryptocurrency across the world, the need for Korea to stand up to the task and embrace the technology become very important, the commission suggested to the Korean government, advising further that they allow financial firms in the country to make use of crypto futures that are based on Bitcoin, the same way the United States financial regulators did.
The commission also suggested that the government innovate a custody solution that is Korea-centric to make the country not depend on foreign custodians that are handling crypto assets across the globe.
The suggestions, according to the report, are contained in a document said to be published by the 4th Industrial Revolution Commission where the section detailed its policy suggestions. In the suggestions, crypto ideas were mentioned to the government.
The commission advised that government include Bitcoin and other cryptocurrencies on Korea Exchange (KRX), while also suggesting that they adopt Bitcoin derivatives.
“As of May 2019, daily crypto-asset trade hit more than 80 trillion won (about US$69 billion) in the world, so it is no longer possible to stop crypto-asset trade,” the commission averred.
“Participants in the traditional capital market such as securities firms and banks should develop and introduce domestic custody solutions to handle crypto assets so that the Korean crypto-asset custody market will not depend on foreign countries.”
Cryptocurrency is gaining prominence lately. Different businesses have chosen to adopt Bitcoin or the underlying technology behind it, blockchain.
Although countries are looking at launching their native cryptocurrency, China recently said it is closer to launching its digital payment solution, branded DCEP, saying the product is not in any way related to Bitcoin.
Countries around Asia are adopting blockchain technology. China is at the fore of the technology adoption.
Today, a report by YNET.com indicates that Beijing adopted a blockchain-linked electronic certificate for registering real estate.
The official adoption happened on the first day of January, 2020, and is geared towards serving as anti-counterfeit for house registration.