P2P loan claims automatic investment function review of whether it constitutes investment management under the Capital Market Act
Article posted in | VEAT
Startups often begin businesses that didn't previously exist. Consequently, the legal risks arising when entering a business can be greater than those in existing industries. Especially in next-generation financial industries such as Fintech, there are often no legal regulations or guidelines for the service.
While the idea is certainly good from the company's perspective, they may worry about potentially being subject to administrative regulations after launching the service. Company A, which entered the Fintech market, consulted Law firm Veat to inquire whether their differentiated financial service might violate any relevant laws.
Veat investigated the content of the Capital Market Act, financial laws and administrative rules, as well as the authoritative interpretations and inquiries from the Financial Supervisory Service and the Financial Services Commission, and prepared and delivered a legal opinion stating that A's new service is not currently prohibited by financial regulatory laws.
Thank you.
Law firm Veat