The report dictates that 157 payment gateways must submit all records linked to cryptocurrency services.
On June 3, South Korea’s Financial Supervisory Service (FSS) initiated an investigation into payment gateway firms that provide digital asset payment services.
According to the official announcement, the FSS has ordered 157 payment gateways to provide all reports related to crypto services as well as their future plans and disclosure of digital asset holdings. However, the FSS indicated that digital assets were held by only six payment gateway firms, including Kakao, Kakao Pay, Danal, PayGate, Finger, and Moin.
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On top of that, on May 31, South Korea introduced the Digital Assets Committee which will supposedly be fired up in the near future. For now, the FSS will act as the country’s financial regulator to bring structure to the virtual asset market in the aftermath of the Luna-Terra fall.
As stated in the report, market and trade monitoring, a degree of disclosure, various stockholders safeguards, and screening requirements for freshly listed assets are all part of the guidelines. Interestingly enough, a new committee was supposedly established by five of South Korea’s biggest exchanges to put a stop to another similar Terra occurrence from happening in the future.
In addition, on June 3, during a high-level remote meeting, the FSS and other financial supervisory authorities from five countries in the Asia-Pacific region discussed different global financial problems, including economic and financial environment changes after the COVID-19 pandemic and the significant growth of crypto-related firms.
On top of that, Lee Jin-seok also expanded upon the increase in private debt and suggested that the crypto regulatory system must be improved as Korea is suffering from various financial issues. The FSS concluded the meeting:
"We agreed that close cooperation between supervisory authorities is essential in order to respond in a timely manner to changes in the financial sector due to technological advances, etc."
In other news, on May 19, Do Kwon, the co-founder of Terra (Luna), received a fine of 100 billion won or $78 million for avoiding taxes from South Korea’s National Tax Service.
