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South Korean Prime Minister Warns Youth That Bitcoin is a Gateway to Illegal Activities

Ashour Iesho | Nov 28, 2017 | 02:00

South Korea Govt Embroiled in Insider Trading Scandal As Traders Refute Exchange Ban News

South Korean Prime Minister Warns Youth That Bitcoin is a Gateway to Illegal Activities

Ashour Iesho | Nov 28, 2017 | 02:00


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South Korean prime minister Lee Nak-Yeon stated in a recent cabinet meeting that cryptocurrencies like Bitcoin may lead young people to illegal activities.


Bitcoin – the Ultimate Gateway Drug?

Bitcoin - the Ultimate Gateway Drug?

Over the past several years, many public figures have warned against Bitcoin and the illegal activities that are associated with it. Experts have (erroneously) stated that Bitcoin is mainly used by criminals that buy drugs and weapons through the deep web. According to a new article by CNBC, the South Korean prime minister Lee Nak-Yeon is the latest to take up the anti-Bitcoin mantle, recently stated in a cabinet meeting that the digital currency could lead children to illegal activities like drug trading.

There are cases in which young Koreans including students are jumping in to make quick money and virtual currencies are used in illegal activities like drug dealing or multi-level marketing for frauds

He warned about potential scams and Ponzi schemes that are often times involved with digital cryptocurrencies. The South Korean prime minister also called on government regulators and agencies like the Ministry of Justice to further monitor the cryptocurrency market and take further measures in order to protect children from its destructive influence:

This can lead to serious distortion or social pathological phenomena if left unaddressed.

This isn’t the first time that South Korean government officials took a stance against cryptocurrencies. Back in September 2017, the South Korean Financial Services Commission (FSC) issued a country-wide ban on all new ICOs. It will be interesting to see what measures regulators might come up with in order to regulate cryptocurrencies in South Korea.

South Korea’s Enormous Cryptocurrency Market

South Korea's Enormous Cryptocurrency Market

Currently, one of the top cryptocurrency exchanges worldwide is the South Korean exchange Bithumb. According to the popular cryptocurrency market data site Coinmarketcap, the South Korean exchange has the highest daily volume in the world with over $2 billion being traded in the last 24 hours alone. Many analysts believe that the main reasons why South Korean exchanges have such a high volume are, the mass “exodus” by Chinese traders which was caused by the recent cryptocurrency ban in China.

What are your thoughts on the statement by South Korea’s prime minister? Do you think that cryptocurrencies like Bitcoin may lead children down the wrong path? Let us know in the comments below!


Images courtesy of Pixabay, Wikimedia Commons


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