South Korean investors and traders in cryptocurrencies have image problem because they are likened to be casino gamblers and “room salon” operators.
Lee Sir-goo, CEO of Doonamoo and CEO of Upbit Exchange, made the remark in a National Assembly conference on cryptocurrency and blockchain Monday.
He said South Korean cryptocurrency exchanges could not get permission to invest overseas due to these negative images. Lee said South Korean cyber currency exchanges face “reverse discrimination” at home. For example, foreign cryptocurrency exchanges can do business in South Korea although South Korean exchanges are unable to invest overseas.
He said cryptocurrency exchanges like Upbit are doing their best to protect investors and prevent illegal and fraudulent trading. “Despite such positive role cryptocurtrncy exchanges play, we have difficulty in opening accounts overseas to do business,” he said.
Lee said the government is quite negative to the cryptocurrency exchange operators.
MediBloc CEO Ko U-gyun said his company faces extra financial burden as blockchain companies could not raise funds through initial coin offering. He said the government can create extra jobs through the blockchain and cryptocurrency industry.
KAIST professor Lee Byung-tae said the government could create 50,000-170,000 jobs over the next four years once the government eases rules on blockchain and allow ICO. The new jobs of up to 170,000 in the blockchain industry are equivalent to 85 percent of the new jobs to be created in health, Internet of Thing (IOT), autonomous cars and smart energy sectors will create over the same period, the professor added,
Professor Lee expressed concern that South Korean companies will unnecessarily shoulder 5-10 percent extra cost in raising funds through ICOs overseas. He hoped that the government could permit the creation of the ICO market in South Korea.
Hashid CEO Kim Suj-joon asked the government to create a playground where South Korean startups and blockchain producers can outcompete rivals overseas. He said this government support will propel Korea into becoming a blockchain powerhouse in the world.
The National Assembly seminar was hosted by lawmakers Noh Woong-rae and Min Byung-woo. Lawmaker Noh said he will do his best to help the government change the negative perception of cryptocurrency.
