$100 Million in Crypto Transactions by Korean MPs
Members of South Korea's National Assembly have been actively trading in cryptocurrencies, with transactions totalling nearly $100 million over three years. This revelation comes from a report by the Anti-Corruption and Civil Rights Commission, released on December 29. The investigation, spanning from May 2020 to May 2023, scrutinised the digital asset dealings of all 298 current members of parliament.
Bitcoin Tops Among Korean Politicians' Crypto Choices
Bitcoin emerged as the preferred digital currency among these lawmakers. In addition to Bitcoin, they held a diverse portfolio comprising 107 different cryptocurrencies. The probe discovered that 18 of the 298 MPs had digital asset holdings in this period. Notably, only 11 of these politicians were responsible for the entire trading volume reported.
Crypto Ethics Reforms Post-Scandal
A scandal in May 2023 involving a Democratic Party member's undeclared holdings of Wemix tokens worth over $4.5 million catalysed significant policy changes. Following this incident, the South Korean government unanimously agreed to enforce a rule requiring civil servants to publicly disclose their cryptocurrency assets. Starting in 2024, approximately 6,000 officials will declare their crypto holdings via the Public Official Ethics System.
South Korean Exchanges to Aid in Disclosure
To facilitate this new mandate, five major South Korean cryptocurrency exchanges – Upbit, Bithumb, Coinone, Korbit, and Gopax – are set to implement "information provision systems." These systems aim to simplify the process of registering information about crypto holdings for public officials.
The report highlights a significant engagement in cryptocurrency trading among South Korean lawmakers, marking a notable intersection of digital finance and politics. The ensuing policy shift towards greater transparency in crypto holdings among public officials reflects a growing awareness and regulation of digital assets in governmental circles.