South Korean watchdog squashes rumors of corporate crypto roadmap

South Korea's Financial Services Commission dismissed recent crypto roadmap reports and urged caution in speculative interpretations.

Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.

South Korea’s Financial Services Commission (FSC) denied reports claiming the government has finalized a roadmap for issuing real-name crypto accounts to corporations, including public institutions and nonprofit organizations, according to a Dec. 4 press release.

Local media outlets, including Hankyung, reported earlier in the day that the FSC planned to release a roadmap by the end of December, outlining a phased approach to corporate crypto account issuance.

The reports suggested that nonprofit organizations, such as universities and local governments, would be prioritized in the first phase, with broader inclusion of businesses and financial institutions being considered in later stages. The articles also attributed the prioritization of nonprofits to the need for crypto accounts to facilitate liquidity rather than investment purposes.

In an official statement, the FSC clarified that no decisions have been made regarding the issuance of real-name crypto accounts for corporations. The regulator emphasized that the issue remains under review and is being discussed through the Virtual Asset Committee, which engages stakeholders, including government agencies, private sector experts, and financial institutions.

The FSC said:

“The roadmap for corporate virtual asset accounts is still undergoing additional discussions, and no concrete regulatory measures have been finalized. We urge caution in interpreting speculative reports.”

South Korea has been cautious in its approach to crypto regulation, often balancing innovation with concerns over speculative trading and potential misuse. While individuals can access crypto trading platforms under strict identification protocols, corporate access remains restricted amid ongoing deliberations on security and compliance issues.

Industry experts say a formal policy allowing corporate crypto accounts could be a significant step for South Korea’s digital asset ecosystem. However, given the global scrutiny of crypto regulations and the risks associated with fraud and money laundering, regulators are likely to proceed cautiously.

The FSC has called for accurate reporting on developments to prevent misinformation as it continues to evaluate comprehensive policies for the crypto sector.