Cryptocurrency exchanges must obtain licenses by September 24 to operate legally on the South Korean market.
According to the Financial Services Commission (FSC), 16 foreign marketplaces operate in the country without licenses.
If they do not complete registration within the deadlines set by the state, their websites will be blocked. In addition, the authorities threaten to fine users of crypto exchanges that have not received licenses.
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FSC may contact the countries where these 16 crypto companies are registered and inform them that they do not comply with Korean law. The list includes platforms KuCoin, MEXC, Phemex, ZB.com, Bitglobal, CoinW, XT.com, Bitrue, CoinEx, AAX, ZoomEx, BTCEX, BTCC, Poloniex, DigiFinex, and Pionex.
South Korean authorities began tightening control over stock exchanges last year. Almost 60 trading floors lost access to the domestic market, as they failed to comply with the requirements of the law.
At the moment, 35 crypto companies have licenses that give them the right to serve traders. Among them are the largest Korean exchanges - Bithumb, Coinone, Upbit, Gopax, and Korbit. They handle 99% of digital currency transactions in the country.