South Korea Tightens Crypto Scrutiny with KYC Rules Amidst Increased Institutional Involvement

South Korea’s Financial Services Commission (FSC) has implemented stricter Know-Your-Customer (KYC) rules for cryptocurrency platforms in a move to combat money laundering risks. The new directive compels exchanges and their partner banks to thoroughly verify the origin of funds for newly registered institutional clients and their motivations behind crypto transactions. Regulators aim to prevent large-scale money laundering through specific scrutiny of high-value accounts.