South Korea plans to lift the "1 exchange to 1 bank" restriction to promote the legalization of cryptocurrency derivatives and institutional account trading

According to the Korea Herald, South Korean financial authorities are working to advance the reform of the digital asset regulatory system, planning to abolish the "1 exchange - 1 bank" binding restriction, allowing the issuance of crypto derivatives and participation in trading with corporate accounts, in order to break the current market monopoly structure and promote liquidity.

Regulators believe that although this restriction is not legally mandatory, it has long existed due to anti-money laundering requirements, limiting competition among exchanges and user choices. Subsequent policies will be included in the second phase of the legislation of the "Basic Act on Digital Assets," and both parties in the National Assembly have reached a consensus on some directions for regulatory relaxation.