South Korean regulators are moving forward with plans to approve cryptocurrency investment by institutional investors, according to local media reports.
The South Korean Financial Services Commission (FSC) has announced plans to gradually roll out corporate investment in digital assets by allowing the issuance of real-name corporate trading accounts, the local news agency Yonhap reported on Jan. 8.
The regulator reportedly announced the initiative in conjunction with the FSC’s 2025 work plan to focus on financial stability and accelerate innovation.
While there is no legal restriction on issuing real-name accounts to corporations, local regulators have been de facto guiding banks not to issue them, the report said.
Lack of timeline specifics and previous controversy
According to Yonhap, the FSC will review a plan to gradually allow corporate crypto investments through discussions with the Virtual Asset Committee, which held its first meeting in November 2024.
There is no specific timeline for discussing the initiative, another local report suggested.
“There are many issues in the market at the moment, so we are coordinating the timing of the committee meeting and the topics of discussion, so it is difficult to give a definitive answer on the specific timing and content,” a source connected to the FSC’s crypto division reportedly stated.
FSC Secretary-General Kwon Dae-young at the briefing of the 2025 work plan. Source: Yonhap News
The latest reports add to the existing controversy regarding South Korea’s potential approval of corporate crypto investments.
In December 2024, the FSC denied reports that claimed it intended to publish a roadmap permitting corporate crypto accounts by year-end, adding that specific measures were yet to be finalized.
Related: Over 30% of South Koreans invest in crypto assets
Cointelegraph approached the FSC for comment regarding the latest reports but did not receive a response by the time of publication.
FSC official called South Korea to align with global crypto regulations
In addition to consideration of corporate crypto accounts, FSC Secretary-General Kwon Dae-young urged that South Korean crypto frameworks should align with global crypto regulations.
“We need to discuss how to create listing standards, what to do with stablecoins, and how to create rules of conduct for virtual asset exchanges,” the official said, adding:
“We will work to align with global regulations in the virtual asset market.”
The news comes amid South Korea facing a major leadership crisis following President Yoon Suk Yeol’s short-lived declaration of martial law in December 2024.
On Jan. 8, lawyers for the impeached president Yoon denounced efforts to detain him over his martial law imposition, while the country’s acting leader expressed concern over a possible clash between law enforcement agents and presidential security personnel.
Magazine: Big moves expected for crypto in Asia in 2025: Asia Express
