Bitcoin and other digital currencies are not currencies of any kind, South Korea’s Financial Supervisory Service (FSS) Governor said recently, according to Reuters.

Speaking at a press conference on Tuesday, FSS governor Choe Heung-sik revealed that the regulator would not seek to regulate digital currency transactions beyond the rules announced last week.

“All we can do is to warn people as we don’t see virtual currencies as actual types of currency, meaning that we cannot step up regulation for now,” Heung-sik said.

He further highlighted the concern that more regulations might further boost digital currency trading as investors might perceive it as implicit approval of their currency status.

Earlier this month, reports suggested that the Financial Services Commission (FSC) has issued an order banning the trade of bitcoin derivatives. The FSC in September banned all fundraising activities in the country conducted through Initial Coin Offerings (ICOs).

In addition, the National Tax Service (NTS) has revealed its plans to bring digital currencies under the income tax regime.