What you need to know about changes in South Korea's crypto policy in 2025
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✳️ 1. Allowing institutions to trade
• First half of 2025: charities, universities, and government agencies will be able to sell crypto donations.
• Second half of 2025: up to 3,500 companies and professional investors will gain access to "real" crypto accounts.
"South Korea is set to unlock the crypto vault for corporations… By mid-year, around 3,500 registered investment firms… will be cruising into crypto trading".
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⚖️ 2. Law "Virtual Asset User Protection Act" – Phase 2
• FSC started discussions on the second phase of the law in January 2025 to enhance transparency, ensure accountability, and regulate stablecoins.
• Expected investments Q3 2025: listing standards set, deposit transparency requirements, disclosure rules.
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🛡️ 3. User protection & AML
• From July 2024, VASPs must keep at least 80% of client funds in "cold" storage, insure assets, and combat dishonest operations.
• In 2025, monitoring of cross-border transactions, registration, and reporting to the Bank of Korea will be introduced to combat money laundering — in response to over ₩11 trillion in crimes in this area since 2020.
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🌍 4. NFTs & tokenized assets
• FSC classifies mass-issued NFTs as virtual assets regulated by law, while unique ones as digital collectibles — this may affect the status and regulation of such tokens.
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🔍 5. Taxes & exchange rules
• From January 1, 2025, a 20% profit tax on crypto trading will be introduced, with local taxes – up to 22%.
• Inclusion of foreign transactions under taxation is expected by 2027.
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✅ Summary for traders
• 📈 Institutions entering the market – this will strengthen liquidity and trust.
• 🛡️ User protection significantly enhanced — cold wallets, insurance, AML.
• 🧩 Regulation of NFTs and stablecoins is becoming clearer.
• 💰 Taxes are now a reality – plan profits in advance.
• 📋 Phase two news — stablecoins, disclosure, listing of new tokens.