Several Asian governments including China and Korea set up a meeting with the crypto mining industry last June 2 to discuss guidelines and regulations for the use of crypto and taxable crypto income.
Reuters reported that China’s Sichuan Energy Regulator office set up a meeting and seminar on crypto mining with local electricity companies and crypto trading industries at an undisclosed location. In the meeting, officials of Sichuan discussed the impact of shutting down crypto mining in the whole region.
There are no reports as of yet about the results of the discussion. However, several crypto mining companies based in China like Nasdaq-listed Canaan Incorporations expressed the importance of crypto mining in the country.
Canaan Incorporations CEO Zhang Nangeng said in an earnings conference call on June 2 that the industries that use clean energy should be spared from the indiscriminate crackdown of cryptocurrency mining in the country. After all, crypto mining makes better use of excess electricity while also contributing to the employment rate in the country.
‘For-profit miners prefer regions with low electricity prices that indicate oversupply, and likely energy waste,’ Zhang said. He added that ‘Bitcoin miners also help create jobs in impoverished regions and contribute to fiscal coffers’.
Zhang finished his statement by saying that it will take time for the regulators to recognise crypto mining and Bitcoin just as it took time for the world to accept Bitcoin in the market.
Meanwhile, Korea’s Financial Services Commission met up with 20 crypto exchange companies in a closed-door meeting called the Report Registration Guidance Consulting last June 3.
In the meeting, they discussed regulatory reforms for crypto. Regional reports in South Korea highlighted that the virtual asset business operators (VASPs) that attended the meeting all had Information Security Management System (ISMS) certification.
An insider noted in an interview with Bitcoin.com that the meeting detailed grievances to the financial regulator and only the Big Four (Upbit, Bithumb, Korbit, and Coinone) of South Korea met the real-name trading requirement set by the government.
Real name is a mandate by the government that tells cryptocurrency traders to only allow financial transactions with bank accounts registered under a legal name.
Find out more about the latest cryptocurrency news and cryptocurrency updates here at Cryptoshimbun!