South Korea’s Financial Services Commission (FSC) will implement stricter Know Your Customer (KYC) and Anti-Money Laundering (AML) regulations for cryptocurrency exchanges to mitigate fraudulent activities and strengthen investor protection. The new regulations will take effect from June 1, 2025.
The new rules stipulate that users must undergo real-name authentication and link their crypto accounts to their respective verified bank accounts. Additionally, exchanges must do their due diligence, be alerted about every transaction, and report any suspicious activities immediately to the authorities.
The FSC has also partnered with government agencies and financial institutions in a joint task force to enforce these regulations. This move highlights the government’s dedication to safeguarding citizens’ assets and enhancing security.