#SouthKoreaCryptoPolicy South Korea Crypto Policy 101
South Korea requires all virtual asset service providers (VASPs) to register with the Financial Services Commission and Korea Financial Intelligence Unit, implement realโname accounts, and comply with strict KYC/AML rules . The Virtual Asset User Protection Act, effective July 2024, mandates 80% of user assets be held in cold storage, obliges insurance coverage, segregates user funds, and empowers regulators to enforce penalties for fraud and unfair trading . Starting in 2025, a phased plan permits charities and educational institutions to sell crypto asset donations, followed by corporate and institutional trading pilots in midโ2025 . Additionally, a 20% tax on crypto gains takes effect January 2025, with eventual expansion to overseas transactions .
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South Korea requires all virtual asset service providers (VASPs) to register with the Financial Services Commission and Korea Financial Intelligence Unit, implement realโname accounts, and comply with strict KYC/AML rules . The Virtual Asset User Protection Act, effective July 2024, mandates 80% of user assets be held in cold storage, obliges insurance coverage, segregates user funds, and empowers regulators to enforce penalties for fraud and unfair trading . Starting in 2025, a phased plan permits charities and educational institutions to sell crypto asset donations, followed by corporate and institutional trading pilots in midโ2025 . Additionally, a 20% tax on crypto gains takes effect January 2025, with eventual expansion to overseas transactions .
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