South Korea followed Japan in legalizing Bitcoin for international transfers and is working on a framework to regulate trading platforms and exchanges. Read More >>
BLOCKINTEL’S TAKE
These moves are momentous but incremental. With Japan’s move in April, the Bitcoin market grew based only partially on real usage; most movement was based on speculation. South Korea’s move affects only international transfers. Though a material and positive step forward, it is still just one of many steps necessary to accept Bitcoin as a fully functioning currency within the country. Now, South Korea and Japan, once bitter rivals, are leading the charge with respect to cryptocurrencies. Here again, we see that the world of the blockchain is growing larger and more relevant by the day.
However, it’s important to be wary of getting caught up in all the hype! Yes, these moves are positive for the long term value of Bitcoin and the broader blockchain ecosystem, but consider each move in the context of the (much) larger existing financial system. Many more steps are needed before the expected, eventual long term value of Bitcoin is realized.