South Korea’s Ministry of Science and ICT (MSIT) has unveiled plans to move away from imposing traditional video game laws on the Metaverse. Instead, the ministry decided to issue new guidelines to encourage the growth of the nascent ecosystem.
South Korea’s interest in acquiring Web3 and the Metaverse ecosystems is evidenced by the $200 million investment it has made to establish an in-house Metaverse. In parallel to this effort, the MSIT found that imposing older regulations deters the growth of new ecosystems.
During the first meeting of the National Data Policy Commission, MSIT noted that “we will not make the mistake of regulating a new service with existing legislation.” However, there are still discussions about designating the Metaverse as a video game.
The ministry decided that new industries – including the Metaverse, autonomous driving and OTT streaming platforms – are demanding the formation of new regulations. With regard to the Metaverse, MSIT expressed concerns about hindering industrial growth due to a lack of legal and institutional foundation. The unveiling of the plan, a rough translation of the press release read:
“Establish guidelines for classification of game products and metaverses for rational and consistent regulation and support for the enactment of related laws (enactment of special metaverse laws, etc.)”
Earlier, on Sept. 1, members of the National Assembly backed an official proposal to enact the Metaverse Industry Promotion Act to support the Web3 industry.
Related: South Korea issues arrest warrant for Terra founder Do Kwon
While supporting the growth of new technologies, South Korean authorities continue their crackdown on people who run the Terra ecosystem.
South Korean prosecutors allege that Do Kwon, the co-founder and CEO of Terraform Labs, allegedly defrauded investors by issuing LUNA and USTC without informing investors of the danger that the price of both could fall together.
As a result, prosecutors have filed an application with authorities to revoke the passports of Kwon and other Terra employees.