CJ – Cryptocurrency Specialist
There is no codified regulation on listing, and neither the public crypto selling price nor the distribution of assets are governed in ICOs.
Extreme euphoria about Terra-Luna would not have spread in the trading cryptocurrency market if there had been a minimal disclosure of the standard investing dangers of stablecoins.
Illegal transactions, such as unfair trades of digital assets and insider trading, are currently unregulated.
The Global Investment Center in Yeouido, Seoul, hosted a talk by Kim Gap-rae, a research fellow at the Capital Market Research Institute, on "The Current State and Major Issues of the Digital Asset Market" on May 24. His main argument was that "after the 'Basic Act on Digital Assets' was established, the market for virtual assets has thrived on the basis of investor trust."
The raising of early development funding from investors and the payment of coins in exchange for creating new virtual assets is known as an initial coin offering (ICO). Before the ICO may release any coins in the early stages of the project, several conditions must be satisfied.
The public offering price or asset allocation are not controlled in ICOs, and there is no institutionalized regulation on the listing.
"Extreme euphoria about Terra-Luna would not have spread in the trading market if there had been a minimal disclosure of the standard investing dangers of stablecoins," Kim believes. He also feels that the required release of a white paper in Korean comprising all pertinent investing information should be issued.
Kim also brought up the issue that unlawful operations like unfair trade in digital assets and insider trading are now unregulated.
"The Terra-Luna episode does not represent the full evolution of the digital asset market," Park Seon-young, a professor of economics at Dongguk University, remarked.
"Investor protection must be realized simultaneously in both the private and governmental sectors, and an atmosphere that prioritizes responsibility rather than competition for market share is required," he said.
Visit the best Bitcoin broker BC Bitcoin to buy Bitcoins safely.