Hello, this is PARAMETA, your Web3 Enabler.
Today we want to share news from a seminar at Korea's National Assembly on digital asset policy.
On September 22, Seminar Room 1 in the New Wing of the National Assembly Members' Office Building hosted "US Crypto Asset Funding Policy and Korea's Digital Asset Legislative Agenda."
Co-hosted by Reps. Min Byoung-dug, Park Min-kyu and Lee Kang-il of the Democratic Party of Korea, organized by MRI Inc. and sponsored by the Digital Asset eXchange Alliance (DAXA), the event brought together financial authorities, academia, the legal profession and blockchain companies to review how the US is building its framework and what Korea's own legislative agenda looks like.
PARAMETA CEO Jong-hyup Kim attended as an invited panelist.
What PARAMETA Raised That Day Was Direction
Anyone who has prepared a business abroad knows this: harder than strict regulation is regulation whose standards have not been set yet.
You can work your way toward strict rules. Without standards, you cannot even decide what to work toward.
The US may differ in pace and in expectations, but its direction is set with real clarity.
Jong-hyup Kim, CEO of PARAMETA
Korea, I believe, has not set that direction at all
PARAMETA has worked as a technology partner on blockchain projects since 2017.
At the time, ICO was an unfamiliar word in Korea. The project's foundation was established in Switzerland, where the relevant contract structures and legal and tax frameworks were further along, and PARAMETA participated through a contract with that foundation.
Not because the technology was lacking, but because the environment left no choice but to go where rules and standards existed.
Years later, Korea's digital asset market has grown large enough, and users understand projects well and are willing to take part.
But the absence of direction back then remains a debt.
Even now, Korean projects keep preparing their businesses in jurisdictions where the standards are already in place.
So What Would Those Standards and That Direction Look Like
PARAMETA's view is not another issuer license, but clarity about what must be disclosed and who bears what responsibility.
Rather than screening in advance who may run this business, let anyone start — then verify what they promised, whether they kept it, and hold them accountable when they did not.
Early projects usually run into trouble less because of the technology itself than because schedule, funding and market demand fall out of step.
Even when development goes to plan, tokens find no use if users and partners do not follow, and priorities shift when the market changes.
So disclosure should not become a system that asks whether a project missed a single day of its white paper schedule.
Business plans change. What actually matters is hiding those changes or misrepresenting how funds were used.
At issuance, it is enough to require the information that directly affects investment decisions: the issuer and its beneficial owner, total supply and allocation, lockups on team and foundation holdings, how raised funds will be used, and administrative powers such as additional issuance.
After issuance, reporting milestones met and delayed, how funds have been spent, material changes in insider holdings, and permission changes or security incidents will do.
Requiring listed-company financial disclosure from every project would erase the very purpose of the framework — a funding channel for early-stage companies.
Verification Should Not Rest on One Party
Issuers should bear primary responsibility for the truthfulness of disclosure, use of funds, token allocation and administrative powers.
Areas that call for expertise — financials and fund flows, smart contracts and permission design — can be verified independently by external auditors and technical assessors.
Exchanges are not there to judge whether a business will succeed. Their role is to confirm that the official issuer and contract match, that minimum disclosure is in place, and to monitor for irregular trading after listing.
If exchanges are made to guarantee business success as well, only large foreign tokens will remain, not new projects.
Verify It With Technology, Not Paperwork
Approaching this only by adding disclosure requirements creates a paperwork burden early-stage companies cannot carry.
Yet supply and lockups, treasury wallets and additional-issuance powers are already recorded in code and in wallets.
Checking on-chain data is far faster and more accurate than collecting the same facts again on paper.
What remains is identity.
Disclosure earns trust when the issuing entity, its beneficial owner, the official contract and wallet addresses are linked to one another — and yet personal data cannot be put on a blockchain.
PARAMETA already has the technology to solve this.
The on-chain KYC and wallet verification (KYW, Know Your Wallet) model in ParaSta, our digital asset solution, turns information confirmed by a trusted institution into a verifiable credential and binds it to a wallet.
Without disclosing a name or detailed identity information, it proves only the minimum attributes required — that this wallet has completed KYC, or that it meets professional investor criteria.
It is the same technology PARAMETA presented this February as a cross-border digital bond investment model at the 45th ASEAN+3 Bond Market Forum (ABMF) hosted by the Asian Development Bank (ADB), where it drew attention from financial authorities across the region.
What is needed now is not new technology, but an institutional standard that recognizes existing technology within issuance disclosure and listing review.
Digital Asset Basic Act: Discussion Expected in November
The seminar also touched on the timeline for the Digital Asset Basic Act.
Seo Na-yoon, head of the Virtual Asset Division at the Financial Services Commission, said preparations are underway with the November subcommittee review in mind.
- A November discussion after the October parliamentary audit is seen as the natural timeline
- Even if the government bill is delayed, it can be reviewed jointly with bills already introduced by lawmakers
- The bill being prepared covers issuance and distribution broadly, along with entry regulation
In short, once the October parliamentary audit passes, discussion is expected to begin in earnest at the November subcommittee, on a framework spanning issuance, distribution and entry regulation.
How the direction PARAMETA spoke about takes shape should become visible through that process.
PARAMETA will keep building the standards of Korea's digital asset industry with the technology we have developed here. We would appreciate your continued interest and support! 🙌
Thank you.