The cryptocurrency investments of employees of related departments are now the subjects of investigation being conducted by the Korean Financial Services Commission (FSC).

Local media outlet Yonhap News has reported that the FSC will start receiving reports from employees on their investment status until May 7. Part of the investigation will be the examination of the investment records of employees in the cryptocurrency-related departments.

The move aims to ensure that these public servants have not made any unethical gains by taking advantage of the knowledge of undisclosed information to the public. They are obliged to report their investments to the chairman of the FSC.

The December 2017 incident

Apparently, the investigation stems from the desire to avoid a repeat of the incident that happened in December 2017, when some employees made large profits through buying and trading before a regulatory announcement was made.

Since then, the FSC has been active in advising its workers to be cautious around crypto investments and even went as far as imposing some restrictions for those working in related departments in an attempt to avoid a similar incident.

Reports now state that some employees have already sent their reports to the chairman of the financial regulatory agency.

Active in regulating crypto industry

There is no doubt that South Korea is one of those countries that are more active in trying to regulate the volatile crypto market.

Among its moves was setting up tax guidelines and issuing a ban on privacy coins. Despite this, many think that the nation is sending mixed signals as far as the crypto industry is concerned. Just recently, a high-ranking financial official in the country said that crypto exchanges in the country might be shut down in September.

What is certain, though, is that the nation is fixated on eliminating crypto-funded crimes.

 

Image courtesy of Cointelegraph News/YouTube

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Source: https://bitcoinerx.com/bitcoin/south-korea-launches-investigation-on-crypto-investments/