SPECIAL REPORT: Regulatory Crackdown
South Korea Escalates Fight Against Unlicensed Foreign Crypto Exchanges
NEW YORK CITY, December 11, 2025 – 9:15 PM EST
South Korea's financial regulators are intensifying efforts to ring-fence domestic investors from the risks associated with non-compliant foreign-based crypto trading platforms. In a significant recent move, authorities have actively pursued measures to restrict access to several international exchanges operating without the requisite local permits. $VIC
The most visible actions include targeting access points to these platforms. Reports confirm that major exchanges, notably KuCoin and MEXC, are being blocked from local application stores and payment gateways, effectively limiting their accessibility to Korean users. $ZK
This proactive measure aims to enforce the nation's strict anti-money laundering (AML) and financial reporting regulations.
The government maintains that these unlicensed entities pose substantial risks to consumer protection, often failing to implement the robust security and compliance protocols mandated under Korean law.$NEO
This crackdown serves as a crucial educational moment for investors, underscoring the critical importance of utilizing Virtual Asset Service Providers (VASPs) officially registered and compliant within their jurisdiction. It reinforces a global trend toward stricter regulatory oversight to ensure market stability and prevent illicit financial activities. Further enforcement actions are anticipated as regulators continue to solidify the domestic legal framework.