Description of NFT from South Korea! Are NFTs Subject to Regulations?


NFT‘s have become quite popular nowadays. With the spread of NFTs so widespread, it was a matter of wonder if these assets would be subject to regulations. The first statement on the subject came from South Korea.

South Korea Financial Services Commission (FSC), in a public statement today, irreplaceable tokenhe announced that ‘s (NFT) are not virtual assets and will not be regulated.

NFTs Are Not Subject to Regulations

Financial Services Commission (FSC), along with his statement during the day NFTThe confirmation of the decision not to subject the to regulation came after a review of the updated guidelines of the Financial Action Task Force (FATF).

FATFthe guideline report of October 28 of states that ”crypto-collectables, depending on the NFT or its characteristics, are generally not considered virtual assets”.

An authorized person from a branch of the Financial Services Commission (FSC) made the following statements in an interview with journalists;

“Due to the FATF’s position on NFT regulation, we will not be regulating for NFTS.”

Korea’s financial regulator focused on the fact that the FATF considers NFTs “unique, not interchangeable”.

Some Do Not Accept This Situation

The South Korean newspaper Herald Corp reports that experts in Korea NFT prices they stated that they believed it could be manipulated and used for money laundering. Thus, it is reported that issuers will not be required to comply with anti-money laundering obligations, since NFTs are not considered virtual assets.

On the other hand, Korean investors January 2022 as of crypto currency although they will be required to pay taxes for their units, they will not be required to pay taxes for NFTs.

Who has almost a monopoly on crypto trading in the country Upbit the parent company of the crypto exchange Dunamu, you will probably be pleased with this news.

Dunamu and his high-profile new partner Hybe are preparing to enter the NFT arena with collections based on the hugely popular BTS K-pop group. Hybe is the entertainment group behind the group and recently announced that it will acquire a 2.5% stake in Dunamu worth $423.1 million. As part of the deal, Dunamu will acquire a 5.6% stake in Hybe worth $592.4 million.

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