South Korea Ends 9-Year Corporate Crypto Ban Under Strict New Rules
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South Korea Ends 9-Year Corporate Crypto Ban Under Strict New Rules
"After a nine-year break, South Korea is set to reintegrate corporations into its cryptocurrency market. The Financial Services Commission (FSC) has established new protocols allowing listed entities and professional firms to resume trading, effectively terminating the 2017 prohibition. This move is part of the government's ambitious "2026 Economic Growth Strategy," which aims to transform the nation into a premier digital hub by introducing stablecoin laws and paving the way for spot crypto exchange-traded funds (ETFs)."
"South Korea is ending a nine-year ban on corporate crypto trading, allowing listed entities and professional investment companies to reenter the market under a regulated framework. Corporate participation will be tightly controlled, with investments capped at 5% of annual equity capital and limited to the top 20 cryptocurrencies traded on regulated domestic exchanges. Institutional entry may gradually improve liquidity and market structure, but strict limits mean large capital inflows from corporate treasuries are unlikely in the short term."
South Korea ended its nine-year prohibition on corporate crypto trading, permitting listed companies and professional investment firms to trade under new Financial Services Commission protocols. Corporate investments are capped at 5% of annual equity capital and restricted to the top 20 cryptocurrencies listed on regulated domestic exchanges. The reforms form part of a broader 2026 Economic Growth Strategy that includes stablecoin legislation and support for spot crypto ETFs. The cautious framework aims to improve market liquidity and structure gradually while limiting systemic and reputational risks and making large corporate treasury inflows unlikely in the near term. Regulators seek to balance innovation with controls to address past concerns about money laundering, manipulation, and financial stability.
Read at Cointelegraph
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