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2025-07-31 17:14:56
[Virtual Asset Lending: On the Eve of a Regulatory Storm in South Korea?] ⑴ South Korea's financial regulators are actively developing guidelines for virtual asset lending services, which are expected to be officially released next month. ⑵ This initiative aims to provide a clear regulatory framework for the rapidly developing crypto market. ⑶ The Financial Services Commission and the Financial Supervisory Service have jointly established a working group with the Digital Asset Exchange Association (DAXA) and five major crypto exchanges to advance this work. ⑷ The convening of this first meeting marks an in-depth exploration of South Korea's virtual asset regulation. ⑸ The new guidelines will comprehensively cover core elements such as leverage usage, service provider qualifications, and the scope of loanable assets. ⑹ User education and risk disclosure will also be key components of the guidelines, aiming to enhance investor protection. ⑺ Furthermore, the authorities will set specific requirements for exchanges' internal control standards to mitigate potential market risks. ⑻ Financial regulators have explicitly required exchanges to review their high-risk services and ensure compliance. ⑼ The release of these guidelines will lay the foundation for the second phase of South Korea's virtual asset legislation and have a profound impact on the market.
