Regulators of South Korea (the one with Gangnam style, not with nukes and funny leader) today banned all ICOs.
Just like China, right?
Exactly! Following the news, eh? South Korean Financial Services Commission (FSC) banned all forms of blockchain funding. But it’s not clear if and how it affects cryptocurrency exchanges.
China also issued an ICO ban earlier this month. As a result, some cryptocurrency exchanges closed their domestic trading operations.
So what will happen to me if I do ICO in South Korea?
Relax, they probably won’t send you to their North counterpart. But govt bodies promised an “intensive crackdown” and “stern penalties”.
In December, stricter identification rules of crypto currency holders come into being. Together with ICO ban, that makes it harder for the people of South Korea to participate in crypto world.
What can we learn from it?
- If you do an ICO, do it globally – regulation on certain markets changes in a day
- If you have potential investors from South Korea – be open and honest with them and be ready for a refund
- Prepare a market pull-out plan – the same can happen to any country you are targeting