The cryptocurrency policy in South Korea is witnessing continuous developments, moving towards stricter regulation with a focus on investor protection and anti-money laundering, while simultaneously aiming to support innovation in this sector. Here are the main features of this policy:

1. General regulatory framework:

Not legal tender: Cryptocurrencies are not considered legal money in South Korea.

Strict regulation of platforms: Cryptocurrency trading platforms are subject to a strict regulatory framework and must obtain a license to operate from the Financial Services Commission (FSC) Financial Intelligence Unit.

Real-name accounts: Traders are required to use bank accounts with real names (real-name bank accounts) to fund their digital wallets and withdraw money from them.

Anti-money laundering (AML) and counter-terrorism financing (CTF): Strict anti-money laundering and counter-terrorism financing laws apply to virtual asset service providers (VASPs), requiring them to verify customer identities.