Financial authorities are reportedly planning to introduce stringent regulations for cryptocurrency lending services offered by domestic virtual asset exchanges, mirroring those applied to the stock market. This move, highlighted in an Edaily exclusive, aims to address concerns surrounding the potential risks associated with high leverage in crypto lending. Currently, exchanges like Bithumb and Upbit allow users to borrow cryptocurrencies against their existing holdings. Bithumb permits borrowing up to 400% of the collateral value, while Upbit offers Bitcoin loans up to 80% of collateral. Authorities view these practices as a form of short selling within the crypto sphere. The planned regulations are expected to be introduced during the second phase of virtual asset legislation. This initiative seeks to bring greater stability and investor protection to the rapidly evolving cryptocurrency market by controlling risky lending practices. These new rules could significantly impact how crypto lending services operate in the future. ```