Starting in the second half of 2025, professional institutional investors in South Korea—such as publicly listed companies, asset managers, and venture capital firms—will be permitted to open crypto trading accounts and actively participate in the digital asset market. The Financial Services Commission (FSC) announced plans to publish official guidelines later this year, marking a significant step toward integrating crypto into the regulated financial ecosystem.
Until now, South Korea’s crypto market has largely been retail-driven, with institutional access limited by legal and operational constraints. However, as jurisdictions like the United States, Hong Kong, and Japan introduce regulatory frameworks that allow institutional crypto participation, Korea is now following suit with its own phased approach.
The upcoming guidelines will apply to approximately 3,500 entities officially registered as “professional investors” under the Capital Markets Act. These organizations will be allowed to open crypto accounts for investment and treasury management purposes on licensed exchanges, signaling a shift in the role of institutions from passive holders to active market participants.
Earlier this year, the FSC permitted a select group of non-profit organizations and public entities—such as universities, tax authorities, and prosecutors—to open crypto accounts for liquidation purposes. The upcoming phase expands on that policy by allowing actual buy-and-sell trading activity by qualified institutional investors.
To ensure safety and transparency, the FSC is also developing additional safeguards, including anti-money laundering (AML) requirements, mandatory third-party custody, exchange and bank due diligence, and expanded disclosure obligations. These measures aim to balance institutional access with robust investor protection and systemic stability.
Market analysts see this policy shift as a catalyst for increased liquidity and institutional confidence. “This move signals Korea’s formal embrace of digital assets in the institutional domain and is likely to accelerate the development of accounting and taxation standards tailored for crypto holdings,” said one industry expert.
As regulatory clarity improves, institutions are expected to play a larger role in shaping a more mature and credible crypto ecosystem in Korea.
