Financial Supervisory Service to Support Phase 2 Legislation Including Issuance of Corporate Real-Name Accounts for Virtual Assets

The financial authorities plan to allow the issuance of corporate real-name accounts, which has been a long-standing wish of the virtual asset (cryptocurrency) industry this year, and to accelerate the second phase of legislation to establish a regulatory framework.

According to the industry, Lee Bok-hyun, the head of the Financial Supervisory Service, stated in his opening remarks during the FSS's business plan report on the morning of the 10th, "We will promote improvements to the regulatory framework for the sound development of the virtual asset market." He explained, "We will support the preparation of additional self-regulation to prevent gaps in user protection, allow the issuance of corporate real-name accounts to expand market participants, and prepare a second-phase bill with global consistency."

This move is interpreted as a measure considering the acceleration of the virtual asset industry development in the United States since the inauguration of President Donald Trump. If corporate accounts are allowed, it is expected to facilitate market entry for small and new exchanges, as well as enable domestic companies and institutions to invest in virtual assets legally, leading to market expansion.

However, due to ongoing concerns about illegal money flows such as money laundering, the FSS plans to do its utmost for the second phase of legislation for a virtual asset regulatory framework where 'regulation and innovation can harmonize.' They also plan to induce additional self-regulation in the industry, such as business conduct rules for advertising and marketing, and voluntary disclosure by operators, while studying overseas cases to reflect them domestically. Lee added, "We will ensure that the response system to unfair trading is thoroughly established through the enhancement of the FSS's own investigation system and the strengthening of market surveillance functions of exchanges."