The rise and fall of the Terra ecosystem has had significant consequences around the world, but there is no doubt that South Korea, the birthplace of its creator, has been the most concerned country of all.
Amid indications that the Terraform Labs co-founder Do Kwon was facing legal problems in South Korea, the country’s ruling party announced Tuesday that will launch a new Digital Assets Committee in early June, according to local outlet NewsPim.
According to the note, the committee will serve as a watchdog for the cryptocurrency industry and be responsible for policy preparation and oversight, that is, until the future Digital Assets Framework Law is enacted and a formal government entity dedicated to the cryptocurrency market is established.
The committee is an expansion and reorganization of an existing body that oversees virtual assets and is expected to improve the policy effectiveness by streamlining government oversight efforts on cryptocurrencies.
The Terra (LUNA) crash takes another remarkable turn.
Legal documents have revealed the liquidation of two South Korean offices and the dissolution of the Terraform Labs Korea corporation in the days preceding the dual currency collapse. https://t.co/hjEb1rXV4q
— Cointelegraph (@Cointelegraph) May 21, 2022
The fall of Terra (LUNA) takes another remarkable turn.
Legal documents have revealed the liquidation of two South Korean offices and the dissolution of the Terraform Labs Korea corporation in the days before the collapse of the dual currency.
According to a translated version of the original note, which appeared in Korean, Hwang Seok Jin, Dongguk University professor and member of the Special Committee on Virtual Assets, suggested that “A ministry should be created to protect investors in digital assets on the same level as protecting investors in shares.”
The professor also compared the daily cryptocurrency trading volume of the country with that of the KOSDAQ stock exchange, once again suggesting that the sector should be treated similarly to the traditional stock market.
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