South Korea’s Ministry of Personnel Management has announced that top public officials will begin disclosing their cryptocurrency holdings starting next year. Approximately 5,800 officials will be required to declare their assets, including cryptocurrency, as part of the government’s Public Ethics and Transparency Initiative. This move follows the acceptance of two legislative bills by South Korean lawmakers in May, mandating the disclosure of crypto assets by elected and high-ranking government officials as part of their annual asset declaration.
The system adopted by the South Korean government is designed as a portal to manage and review the asset declarations of public officials. Personnel Management Minister Kim Seung-ho expressed that the implementation of an integrated public information service and the recording of crypto assets are expected to further increase the transparency of public service.
The Ministry also revealed plans to develop a separate information system in collaboration with five major South Korean-based crypto exchanges—Upbit, Bithumb, Coinone, Korbit, and Gopax—for property registration by June of the following year.
In June, South Korean lawmakers addressed a legislative process to better protect crypto investors. The new legislation, comprising 19 bills related to the crypto sector, grants the Financial Services Commission (FSC) and the Bank of Korea authority to oversee crypto companies and asset custodians.
In July, the FSC announced that as part of new accounting rules, South Korean companies will be required to report their cryptocurrency holdings from the following year. The new rules will also require crypto companies to report information including tokenization details, business models, and internal accounting policies.
Developments reported on November 14, 2023, highlighted significant steps taken by the South Korean government towards the crypto market. A notable incident involved Democratic Party member Kim Nam-kuk holding at least $4.5 million worth of Wemix (WEMIX) tokens, developed by South Korean blockchain game developer Wemade, which made headlines in May.