South Korea to allow institutional investors to trade crypto: report

South Korea is considering easing restrictions on institutional crypto trading, with plans to gradually grant real-name accounts to institutional investors.

South Korea will allow companies to invest in cryptocurrencies as the Financial Services Commission considers a phased approach to lifting restrictions, Yonha News Agency reported, citing the regulator. According to the plan, companies, starting from non-profit organizations, will be able to open accounts with real names on crypto exchanges.

As of the date of publication, South Korea’s crypto laws only allow retail investors with verified real-name accounts to trade. The report states that although there is no official ban on institutional investors, banks are advised not to give accounts to companies under their real names. The FSC aims to change this by planning to discuss the issue through its Digital Asset Committee.

The financial regulator also plans to take measures to allow fintech companies to grow. The aim is to improve collaboration between financial groups and fintech firms. There will also be improvements in how crypto exchanges are regulated, especially when it comes to listing tokens and trading stablecoins.

In early January, South Korean Stock Exchange President Jeong Eun-bo said the trading platform was looking to “explore” crypto spot ETF approval in 2025, as reports indicate the FSC also wants to allow companies to launch security token offerings.

In his speech at the Securities and Derivatives Market Opening Ceremony 2025, Jeong said that the exchange will “benchmark overseas cases for new businesses such as cryptocurrency ETFs and explore new areas in the capital market.”