According to the latest report, South Korea's financial regulators are entering an approach to cryptocurrency by allowing certain organizations and companies to open bank accounts for crypto trading.
The move is offered as part of a broader commitment to meet the Financial Services Commission (FSC) global standards, indicating important policy changes that open up new possibilities for corporate participation in the virtual asset market.
While the country's financial companies remain banned from trading in crypto, new measures pave the way for other entities, such as law enforcement, universities and listed companies, to trade legally on digital assets. Masu.
Crypto account access extensions, but there are restrictions
The decision is based on measures already taken in late 2024 when National Tax Services and other government agencies began selling forfeitured digital currency holdings. Kim Saw-woon, Vice Chairman of the Financial Services Committee (FSC), said:
Considering overseas incidents where the virtual asset ecosystem was developed primarily by companies, a consensus has reached the permission to participate in the cryptocurrency market.
Starting the second quarter of this year, nonprofit organizations such as accredited charities and universities will also be permitted to open bank accounts for these purposes.
Additionally, approximately 2,500 listed companies and professional investors will have access to the market by the year, as long as they comply with upcoming guidelines designed to prevent money laundering and ensure transaction transparency. .
Interestingly, despite these developments, the FSC continues to enforce strict boundaries of traditional financial institutions. Banks, brokerages and other financial companies are still prohibited from buying and selling cryptocurrency, including providing crypto-assisted ETFs.
Regulators cited ongoing concerns about market risks and potential speculative trading. Reports show that for now, financial companies must rely on existing frameworks and refrain from directly holding virtual assets.
Regulators say that transaction approvals for corporate accounts rely on a strict screening process and ensure that only validated sources of funding and clearly defined trading purposes will win green light.
Authority's Crypto Sales: New SFC Order
In addition to corporate access, the South Korean Financial Services Commission (SFC) will allow institutions to sell donations of digital assets.
The change, set to roll out in late 2025, will allow charities and universities to sell previously restricted crypto donations. The SFC statement read:
Later this year, pilot tests will be conducted for investment and financial purposes by some institutional investors with risk-taking capabilities.
These measures show a significant shift in South Korea's approach to crypto regulations as the country continues to slowly launch its digital assets ecosystem, while implementing strict surveillance measures.
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