Bitcoin Price Plunges as South Korea’s Justice Minister prepares a bill to ban all crypto trading on non-compliant exchanges

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The justice minister of South Korea announced on Thursday that he is preparing a bill to ban all crypto trading non-compliant exchanges.

As South Korea is one of the biggest markets in the crypto space, this is a major development.

“There are great concerns regarding virtual currencies and justice ministry is basically preparing a bill to ban cryptocurrency trading through exchanges,” Park Sang-ki said at a press conference, according to the ministry’s press office.

The price of Bitcoin has plummeted more than 12 percent after his statement, according to CoinDesk’s bitcoin price index that tracks prices from 4 different exchanges. At 12:35 p.m. HK/SIN, the crypto traded at $13,042.79

Park also added that he couldn’t disclose more details about the proposed shutdown of crypto trading exchanges in South Korea, adding that multiple government agencies would work alongside to implement various measures.

In December, the South Korean Financial Services Commission said in a statement that it would prohibit crypto exchanges from allowing new trading accounts. The government has the power to pursue action or stop trading/shut down if the exchange issues new accounts.

They also added that users must use their real names since much of the crypto trading is done anonymously.

The commission also said it would tightly monitor banks & would “swiftly” step in to limit fund flows into crypto if needed.

This news from the justice minister comes after South Korea’s largest crypto exchanges were raided by police and tax agencies this week for alleged tax evasion.

What is your take on the current situation in South Korea? Let us know by commenting below.

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