0 C
Manchester
August 15, 2018
Bitcoin

Cryptocurrency investment has’ Insignificant’ risk on Financial Market, says the Central bank of Korea

The total amount of investment in cryptocurrency stands at 1.79 Billion as of Dec 2017, local news outlet Yonhap reported on Friday, July 5. This was authenticated by South Korean central bank the Bank Of Korea(BOK)
An amount of $1.79 billion is only 8% of the total investment which stands at 23.37 billion. This figure was considered relatively low by BOK. The report hence suggested that5 crypto market does not pose a threat to traditional financial markets
“The amount of crypto-asset investment is not really big, compared with other equity markets, and local financial institutions’ exposure to possible risks of digital assets is insignificant. Against this backdrop, we expect crypto-assets to have a limited impact on the South Korean financial market.”
Prominently, the BOK’s informational index secured the tallness of the digital money markets’ remarkable development in late 2017 – when Bitcoin (BTC) broadly hit the $20,000 value point.
The central bank’s conclusion that cryptocurrencies pose a relatively limited risk to the traditional financial sector comes in the very same week that the Korean Financial Services Commission (FSC) revealed it is “not opposed” to cryptocurrencies and plans to align itself with the G20’s vision of “unified,” transnational crypto regulations.
March’s G20 summit proposed a firm July deadline for drafting regulatory recommendations for cryptocurrencies, calling on “international standard-setting bodies (SSBs)” to assess necessary “multilateral responses” that would then proposed for “global implementation.”
Korea is avowing the G20’s multilateral vision without bounds of crypto directions at what is seemingly a critical time for its residential crypto circle. Essential positive news has been prospective from the administration all through spring, eminently including plans to lift the nation’s sweeping prohibition on household Initial Coin Offerings (ICOs).
Simply a week ago, in a noteworthy legitimizing move, three Korean government services uncovered a draft form of new blockchain industry grouping models, which quite perceived crypto trades as managed monetary foundations out of the blue.

Related posts

BTC Prices might Rise within 12 Months

admin

Cryptocurrency to be Treated as commodities in India, Ban may not be Imposed

Nischal Kumar

Expedia the travel booking giant ban’s Bitcoin payment option

Nischal Kumar

Leave a Comment