According to Foresight News and The Block, the South Korean Ministry of SMEs and Startups announced today that it plans to amend the current Special Act on Promoting Risk Enterprises, proposing to allow virtual asset trading and brokerage service providers to register as 'risk enterprises,' thus qualifying them for relevant government support policies.
In South Korea, a risk enterprise refers to small and medium-sized enterprises or start-ups that have been formally certified by the government. They must meet certain standards in terms of investment scale, R&D intensity, or technology assessment to obtain certification and enjoy preferential policies such as tax reductions and financing support. However, under current regulations, since 2018, blockchain-based cryptocurrency trading and brokerage enterprises have been excluded from the certification scope of risk enterprises, being categorized in the same restricted industry as bars, nightclubs, and similar venues.