South Korea’s FSC to Permit Institutions to Liquidate Crypto Donations Starting in 2025
The Monetary Companies Fee (FSC) of South Korea has introduced plans to permit establishments, together with regulation enforcement companies and non-profit organizations, to liquidate cryptocurrency donations beginning within the first half of 2025.
The choice was confirmed through the third Virtual Assets Committee meeting held on Feb. 13, 2025, in Seoul.
South Korea’s FSC: Regulatory Shift on Crypto Transactions
The transfer marks a shift in South Korea’s regulatory stance on company cryptocurrency transactions, which have been largely restricted since 2017 attributable to issues over cash laundering and speculative buying and selling.
Notably, the FSC’s up to date coverage will allow establishments reminiscent of prosecutors’ workplaces, universities, and digital asset exchanges to transform donated digital belongings into money.
“For regulation enforcement companies, this can present a authorized foundation to liquidate confiscated felony proceeds,” mentioned Kim So-young, Deputy Director of the FSC. “Non-profits and universities receiving crypto donations can even acquire clearer operational tips.”
Pilot Program for Institutional Buyers
Within the latter half of 2025, the FSC plans to introduce a pilot program permitting skilled buyers and publicly listed corporations to commerce digital belongings for funding and monetary functions. Roughly 3,500 companies assembly particular monetary thresholds shall be eligible to take part.
South Korea’s regulatory method aligns with world traits as main economies more and more permit company participation in crypto markets. The FSC’s coverage roadmap contains strengthening anti-money laundering measures and enhancing disclosure necessities for institutional buyers.
Implementation and Future Outlook
A job drive, together with the Monetary Supervisory Service, the Banking Affiliation, and Digital Asset Alternate Affiliation (DAXA), will oversee implementation. The FSC can even think about legislative changes to additional combine tokenized securities into the monetary system.
The most recent coverage shift is a part of South Korea’s broader technique to develop a structured regulatory framework for digital belongings following the Digital Asset Person Safety Act, which took impact in July 2024
