a top South Korean The financial regulator has denied reports that it is ready to cooperate with the United States on efforts to classify some cryptocurrencies as securities.
Per hanguk kyungjaeThe South Korean Financial Supervisory Service (FSS) said reports that cryptoassets plan to meet with the US Securities and Exchange Commission (SEC) to determine security properties were widespread.
The FSS acknowledged that several key officials were expected to travel to Washington, where they would actually meet with the SEC. But the FSS said that crypto will not be on the agenda of the meeting.
If crypto doesn’t have securities status, what does the South Korean regulator want to meet with the SEC?
An FSS official was quoted as saying:
“It is true that we are preparing to launch a business trip to the SEC. But the meeting will be about the Corporate Data Disclosure Review Protocol, not cryptocurrency.
The SEC and its chairman, Gary Gensler, have repeatedly claimed Tokens whose protocols use the staking mechanism can be considered securities.
The South Korean regulator, meanwhile, hopes to draw clear lines between tokens that can be viewed as commodities and those that can be viewed as securities. Prosecutors hope this will allow them to take legal action against Terraform Labs officers.
Prosecutors seek missing Terraform CEO do quon in court on charges of fraud. But the prosecution’s entire case hinges on defining the Terra ecosystem coins as securities.
Gensler suggests that no cryptosets – with the exception of bitcoin (btc) – should be considered an object. Seoul, media outlets reported earlier, wants to seek clarification on these matters.
But the FSS said the SEC has yet to respond to its request for a meeting. Industry and political insiders believe Seoul wants to hear details of Washington’s stance before it issues guidelines related to its own securities token offering (STO).
Scores of South Korean firms STOs are looking forward to moving into the space, and many have promised that their offerings will be ready for the market before the end of the year.
But politicians still aren’t giving these firms an official green signal — and will be waiting for the SEC to vet them before making a firm commitment.