#SouthKoreaCryptoPolicy Crypto Policy of South Korea in 2025

South Korea is undergoing a regulatory transformation in the crypto sector. By mid-2025, regulations governing cross-border transactions of virtual assets will be implemented: companies will be required to officially register and report monthly to the Bank of Korea to combat fraud, which since 2020 has reached nearly ₩11 trillion.

Meanwhile, the 20% tax on crypto gains remains, although there has been a proposal to raise the exemption threshold to around $35,900, and its application could be postponed until 2027.

In parallel, the Financial Services Commission (FSC) is preparing the second phase of the Virtual Asset User Protection Act: it will strengthen service requirements, transparency in listings, custody, and regulation of stablecoins, with a draft expected in the second half of 2025.

Additionally, the pilot for institutional trading is authorized: NGOs, universities, and around 3,500 listed companies will be able to operate with real accounts throughout the year.

This positions South Korea as an emerging reference in balanced regulation, combining protection, transparency, and innovation.