BlockBeats news, August 19, according to The Block, the South Korean Financial Services Commission (FSC) has ordered local cryptocurrency exchanges to suspend lending services from August 19, 2025. The Financial Management Commission stated that the suspension will last until official guidelines for cryptocurrency lending are issued.
The regulatory authority pointed out that there is legal uncertainty and user loss risks associated with lending operations, noting that in the first month after a digital asset company launched lending services, approximately 27,600 investors borrowed 1.5 trillion won (1 billion USD). The Financial Management Commission indicated that 13% of these borrowers were forced to liquidate due to price fluctuations.