Regional reports disclose South Korea’s Financial Services Commission (FSC) had a closed-door meeting with roughly 20 different cryptocurrency exchanges on June 3. The report highlights that virtual asset business operators (VASPs) that attended the meeting all had ISMS (Information Security Management System) certification.
South Korean Regulator Holds a Closed-Door Meeting With 20 VASPs
A report stemming from D.Street who quoted undisclosed sources stated the South Korean FSC met with 20 “small and medium-sized exchanges in South Korea” to discuss the cryptocurrency environment.
The insiders further noted that the exchanges could detail grievances to the financial regulator. ISMS certified exchange representatives who attended the meeting came from companies like Upbit, Bithumb, Korbit, Coinone, Kordax, Coinncoin, Tennten, Poblegate, and Flybit.
The meeting was called the “Report Registration Guidance Consulting” and the report noted that only Upbit, Bithumb, Korbit, and Coinone have met the “real name” trading requirement. These four crypto exchanges are known as the “Big Four” in South Korea. D.Street highlighted that 16 small to medium exchanges expressed difficulties toward meeting the “real name” mandate.
South Korean Citizens With Overseas Crypto Accounts Will Need to Report Holdings in 2023
Meanwhile, another report details that South Korea’s National Tax Service (NTS) revealed that residents with accounts to overseas crypto exchanges must report their crypto holdings to tax officials. The NTS noted that the overseas crypto rules will take effect on January 1, 2022, and people need to report crypto holdings by June 2023.
The news follows the Financial Supervisory Service (FSS) being assigned to lead the cryptocurrency regulatory efforts in South Korea. Furthermore, regulators in South Korea have been concerned with the ‘kimchi premium’ on certain crypto assets in the country.
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