South Korea is enhancing regulations on digital asset transactions in preparation for institutional involvement in the crypto market. The Financial Services Commission (FSC) announced new guidelines during its Virtual Asset Committee meeting, effective in June. Nonprofit organizations and virtual asset exchanges must adhere to stricter compliance standards. Nonprofits need a five-year financial history and Donation Review Committees for virtual asset donations. To prevent money laundering, donations must go through verified Korean won exchange accounts. Exchanges can only liquidate user fees for operational costs, with daily sales limits. Only top 20 tokens by market cap on five exchanges are eligible for sales. The rules also tighten listing standards to prevent price instability. Exchanges and nonprofits can apply for real-name accounts starting in June, with plans to extend to listed firms and professional investors later. South Korean political leaders are considering stablecoin initiatives and legalizing spot crypto ETFs. Read more AI-generated news on: https://app.chaingpt.org/news

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