A wave of closure has killed the South Korean Crypto exchanges, with small companies out of the market, as regulatory compliance and banking access are running.
South Korea’s crypto exchange market is getting smaller, as new government data suggests that the number of virtual asset service providers registered since last year has fallen.
The 7 February report of the Financial Intelligence Unit has revealed that as a press time, South Korea has only 31 registered crypto trading firms, which is more than 42 to 26% last year, South Korean Newspaper DailyAn Reports,
Delisted companies include GDAC, Prboes, Huby Korea and Bitred. The report stated that most exchanges leaving the Korean market had only token-platforms without fiat support, which faced difficulties in business.
In addition to commercial barriers, many platforms failed to renew their registration, causing their boycott from the nation’s registry, report notes.
Token-cavalry exchanges, which do not have real-name bank accounts, are in trouble for some time. Without Fiat Trading Options such as US Dollar or Korean, these platforms struggle to attract users. The FIU report states, “More than 90% of these exchanges were in a state of full capital erosion last year.” Many of these exchanges, including quit and coinbit, eventually closed.
The report also warned that the number of crypto exchanges in South Korea may move forward, as some firms in the list have already announced a plan to exit, while other regulators have their own due to uncertainty. Are focused on.
