South Korea’s FIU Checks Crypto Exchanges Ahead of Broader Corporate Market Access

Suehyeon Lee

Summary

The Financial Intelligence Unit has begun reviewing major exchanges’ readiness ahead of an expansion of corporate participation in the virtual-asset market.
The FIU is focusing on exchanges’ responses related to the second-phase rollout of the roadmap for corporate participation in the virtual-asset market, including KYC, STR and AML controls.
The move is a preliminary review aimed at expanding permission for corporate virtual-asset trading, with the goal of allowing about 3,500 listed companies and corporations registered as professional investors to participate in the market.

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South Korea’s Financial Intelligence Unit has begun reviewing major cryptocurrency exchanges’ readiness ahead of a broader opening of the virtual-asset market to corporate participants.

The Digital Asset eXchange Alliance, or DAXA, plans to collect related materials from Dunamu’s Upbit, Bithumb, Coinone, Korbit and Streami’s Gopax and submit them to the FIU by 2 p.m. on May 7, Edaily reported.

The FIU asked the exchanges on May 4 to submit their preparations for the second phase of its roadmap for corporate participation in the virtual-asset market, the report said. Financial authorities are focusing the review on anti-money laundering measures, including know-your-customer procedures and suspicious transaction reporting systems.

The step amounts to a preliminary review ahead of a wider expansion of permitted corporate virtual-asset trading. Under the roadmap, the Financial Services Commission plans in the second phase to allow about 3,500 listed companies and corporations registered as professional investors to participate in the market, excluding financial firms.