Crypto.com had planned to launch its trading services in South Korea on April 29. However, the company has decided to temporarily halt its plans due to regulatory challenges in the country.
To enter the South Korean market, Crypto.com had acquired two local cryptocurrency firms, OK-BIT and PnLink, in August 2022. Despite these acquisitions, the company still needs to meet stricter compliance requirements to become fully compliant in the country.
One of the main issues is that OK-BIT was not qualified to offer fiat-to-crypto services, which has prompted the company to undergo an on-site inspection by the Financial Intelligence Unit (FIU). Additionally, the FIU did not approve a key leadership change at Foris DAX Korea Limited, the entity behind Crypto.com’s operations in South Korea.
However, a company spokesperson has clarified that the change in directors is a procedural formality and will not affect the company’s ability to launch its app in South Korea on April 29th. Crypto.com remains committed to collaborating with local regulatory authorities to address these concerns and navigate through the complexities of entering the South Korean market.
Despite the challenges, Crypto.com recognizes the tremendous potential and opportunities in the South Korean market and remains optimistic about its prospects. The company aims to eventually establish its presence in one of the world’s most dynamic cryptocurrency hubs after addressing regulatory concerns and fostering cooperation with local authorities.
In conclusion, while Crypto.com may be temporarily halting its plans to enter the South Korean market, it remains dedicated to eventually making its mark in this vibrant cryptocurrency market. As the company continues to navigate through regulatory hurdles, it remains committed to collaborating with local authorities to ensure compliance and success in the South Korean market.
