Traders will be notified about atypical situations in the market
Date: 2023-07-05 Author: Karina Ziganova Categories: IN WORLD
South Korea has launched an alert system that will notify users of atypical situations in the cryptocurrency market.
The new system will alert users in the event of a sudden rise or fall in cryptocurrency prices, as well as in the event of a sharp increase in trading volume or deposits in the last 10 days. In addition, traders will be notified when there is a difference between the actual prices of tokens and their market capitalization.
According to DAXA Vice Chairman Kim Jae-jin, the system was designed to protect users by eliminating information asymmetry. The decision comes after DAXA created a standard code of conduct for virtual asset operators last month in response to public criticism over allegations of irregularities in the registration of some cryptocurrency exchanges.
Korea Strengthens Investor Protection
Last week, the National Assembly passed Korea's first law aimed at protecting crypto investors. According to the document, those who trade virtual assets in bad faith can be sentenced to prison and a fine.
Unfair trading refers to the use of undisclosed information, manipulation of market prices and illegal transactions. To prevent this, South Korea's Financial Services Commission (SFC) will have the power to monitor and inspect crypto operators.
South Korea tightens control over crypto
Last year, the South Korean government proposed a tax of up to 50% on cryptocurrency airdrops. According to the South Korean authorities, the transfer of assets through airdrops falls under the inheritance and gift tax law. The share of deductions will be determined within the range of 10 - 50% in each case.
In addition, the SFC will begin tracking all cryptocurrency wallets of large investors. All cryptocurrency wallets with a balance of $347,000 or more will be supervised. According to the financial regulator, the larger the wallet balance, the higher the likelihood of money laundering. Therefore, the measures will help strengthen the fight against money laundering.
