South Korea Tightens Crypto Lending Rules, Caps Rates at 20%

South Korea’s Financial Services Commission (FSC) has introduced new rules aimed at curbing crypto lending practices and protecting retail traders. The measures include a maximum interest rate cap on loans of 20%, restrictions on loan-to-value ratios, and the prohibition of cash repayment products. This follows regulatory scrutiny into platforms following the suspension of lending products at Upbit and Bithumb last month.