South Korea eyes listing rules for crypto exchanges after LUNA scandal

South Korean lawmakers are calling connected the country’s crypto exchanges to formulate guidelines for listing and delisting cryptocurrencies, Bloomberg News reported.

The legislators are basing the urgency of establishing the caller listing rules connected the illness of TerraUSD (UST) and its sister token, Terra LUNA (LUNA). By getting section exchanges to make wide guidelines, the policymakers anticipation to support investors against the risks associated with the nascent plus class.

Yun Chang-Hyun, caput of the ruling party’s Virtual Asset Committee, is championing the motion. In an interview, Chang-Hyun disclosed that helium called for a 2nd gathering with starring South Korean crypto exchanges, including Upbit, Bithumb, Coinone, Korbit, and Gopax. The gathering is scheduled for the week of June 13.

Per Chang-Hyun, the meeting’s extremity is to get the exchanges to motion disconnected connected a draught of the non-binding guidelines. Once crypto exchanges scope a consensus, South Korea volition instrumentality a self-regulatory strategy similar Japan.

Emphasizing the request for the listing and delisting guidelines, Chang-Hyun said crypto has aggregate shortcomings compared to accepted finance. He added that the crypto abstraction has been operating for a agelong clip without bid and discipline.

Increasing efforts to support crypto investors

Previously, Chang-Hyun suggested that the South Korean parliament summon Terra’s CEO, Do Kwon, to reply questions astir the illness of UST and LUNA.

He said:

We should bring related speech officials, including CEO Do Kwon of Terra, which has go a caller problem, to the National Assembly to clasp a proceeding connected the origin of the concern and measures to support investors.

Soon afterward, South Korean authorities probed Terraform Labs employees. The probe sought to uncover whether interior players intentionally manipulated UST and LUNA prices. Moreover, authorities looked into whether the tokens followed the close listing procedures connected section exchanges.

While South Korea is inactive trying to find the champion attack to support investors without stifling the maturation of the crypto ecosystem, Japan has taken a stricter stance.

Japan’s lawmakers passed a stablecoin regularisation measure pursuing the Terra fiasco to support investors. The measure defines stablecoins arsenic integer money. Additionally, the authorities requires stablecoin issuers to nexus their tokens to the yen oregon different ineligible tender.

The U.K. besides proposed legislative amendments to modulate crypto companies, including stablecoin issuers. Specifically, the authorities wants to bring crypto firms nether the Financial Market Infrastructure Special Administration Regime (FMI SAR).

The station South Korea eyes listing rules for crypto exchanges aft LUNA scandal appeared archetypal connected CryptoSlate.