Following a murder case involving digital assets, South Korean lawmakers are pressing for tougher control of digital assets to be enshrined in law.
According to a May 18 Bloomberg report, a Korean woman was kidnapped on March 29 and later murdered in a dispute that is thought to have been sparked by a disagreement over cryptocurrency-related losses.
The nation’s first standalone crypto laws, which could be passed in a legislative vote later this month, has reportedly gained urgency for MPs due to the recent murder case.
“There is finally a consensus on both sides of the aisle that we need to get a law in place as soon as possible,” Back Hyeryun, a lawmaker from the opposition Democratic Party of Korea told Bloomberg.
“There were too many issues, so it was necessary to focus on one thing first — investor protection — to move on quickly,” she added.
The new proposed legislation, known as the Virtual Asset User Protection Bill, combines 19 separate bills pertaining to cryptocurrencies into a single, stand-alone bill.
According to a draft version of the bill seen by Bloomberg, the legislation outlines clear legal definitions of virtual assets and imposes penalties for offenses such as insider trading and market manipulation. Additionally, the new bill would grant the country’s Financial Services Commission power to oversee crypto companies and custody of assets.