- NFTs and Metaverse are being monitored by the South Korean government.
- After the many reports from all around the world, governments are starting to act toward Metaverse and NFTs.
- The South Korean measures were taken to protect users and minors from hacks and fraud.
The South Korean government, through its Financial Supervisory System (FSS), announced that they will tighten the monitoring on NFT trading and the Metaverse. This is in order to protect its citizens, especially minors, against illegal activities related to NFTs and sexual harassment being performed on Metaverse platforms.
The news follows 7 guilty verdicts ruled against executives of crypto exchange V Global. These were accused to have swindled over 52,000 investors up to $2 billion. South Korean prosecutors emphasized stern punishments on crypto criminals which resulted in heavy sentences for the accused. As a matter of fact, even the V Global CEO received a 22-year jail sentence.
As people are becoming more familiar with the latest developments in the crypto space, more players are exploring NFTs and the metaverse. While this improvement has its advantages, a lot of reports regarding illegal activities are being filed in many countries.
For instance, India, the UK, and the US started to increase scrutiny over NFTs and Metaverse. China also was one of the first countries to do so, yet there are many activities still happening.
Such measures are becoming more of a necessity every day especially with the rapid growth of the Metaverse. In detail, the NFT market is already witnessing plenty of illegal activities including art thefts, rug pulls, plagiarism, and wash trading. Regulators deem it important to set rules and regulations that protect user and human rights with the increasing popularity of such platforms.