South Korea will expand oversight of microtransactions with digital assets

The Financial Services Commission of South Korea announced plans to improve digital asset monitoring mechanisms. As part of this initiative, regulatory authorities intend to lower the current reporting threshold from 1 million won (approximately $680 USD), which will also cover smaller virtual asset transactions. This step is part of a broader strategy to strengthen financial security at the national level.

Enhancing Control Over Digital Asset Flows

The main goal of expanding monitoring rules is to improve the fight against money laundering and prevent the use of cryptocurrency channels for financing transnational crime. By reducing the threshold amount, regulators will be able to track a greater number of transactions, creating a more comprehensive financial oversight network. This approach will help South Korea minimize risks associated with illegal transfers and hidden schemes to bypass sanctions through crypto exchanges.

Digital Innovation and Regulatory Development

Alongside strengthening anti-money laundering protocols, South Korea’s Financial Services Commission is focused on supporting technological transformations in the financial sector. Priorities include developing artificial intelligence and integrating new data systems to improve monitoring quality. This dual approach—simultaneously enhancing security and promoting innovation—reflects the country’s effort to find a balance between protecting the financial system and fostering digital economy growth. These measures demonstrate that South Korea considers regular improvement of the regulatory framework as a tool to achieve both security and progress in the financial sector.