Korean crypto exchange numbers fall 26% due to unclear regulations, bank access: report

A wave of closures has struck the exchanges of South Korean cryptography, small businesses leaving the market while regulatory compliance and bank access remain obstacles.

South KoreaThe Crypto trade market is lower because the new government data show that the number of recorded virtual asset service providers has dropped since last year.

A report of February 7 of the Financial Intelligence Unit revealed that at the time of the press, there are only 31 Crypto negotiation companies recorded in South Korea, down more than 26% out of 42 per year Last, the South Korean newspaper Dailian reports.

Radored companies include GDAC, Probit, Huobi Korea and Bitrade, among others. The report indicates that most of the exchanges that left the Korean market were platforms only in token without Fiat support, which encountered difficulty staying in business.

In addition to business obstacles, many platforms have failed to renew their registrations, thus leading to their exclusion from the country’s register, notes the report.

Chip exchanges only, which have no real name Bank accountshave been in trouble for some time. Without trading fiat options such as the US dollar or the Korean has won, these platforms find it difficult to attract users. The FIU report indicates: “More than 90% of these exchanges were in a state of capital erosion last year.” Many of these exchanges, which are qued and coincidence, end up being closed.

The report also warns that the number of crypto exchanges in South Korea could still decrease, because some companies on the list have already announced exit plans, while others are focused on foreign markets due to the regulatory uncertainty.