South Korea’s Financial Services Commission (FSC) is moving forward with plans to open the cryptocurrency market to institutional investors. Vice Chairman Kim So-young announced that the government is working on a comprehensive “two-phase crypto regulation framework” that goes beyond existing user protection measures.
During a March 12 meeting with industry experts, Kim highlighted key elements of the regulatory plan, including guidelines for stablecoins and a legal framework for tokenized securities. He emphasized that South Korean authorities are accelerating efforts to align with international regulatory developments, particularly following global discussions on cryptocurrency led by the United States.
The FSC had previously unveiled a roadmap in February aimed at facilitating corporate participation in the crypto market through a phased approach. Kim stressed that integrating businesses into the digital asset space requires not only legal adjustments but also industry-wide best practices to ensure a sustainable and well-regulated market.
Earlier this year, South Korea took initial steps to broaden the cryptocurrency sector beyond individual investors. The government first granted nonprofit organizations the ability to liquidate virtual assets and later announced plans to extend trading opportunities to general corporations.
More: Metaplanet Continues to Buy More Bitcoin
In line with these efforts, the FSC recently approved the issuance of real-name accounts for nonprofit entities to facilitate cash conversion of digital assets. Eligible organizations include law enforcement agencies such as the National Tax Service, which manages confiscated cryptocurrencies from illegal activities, as well as designated donation organizations and university-affiliated institutions receiving virtual asset donations.
