What happened?

South Korea’s Financial Intelligence Unit (FIU) has blocked domestic access to 14 foreign crypto apps on Apple’s App Store that weren’t registered with local authorities. This move follows a similar action where Google was asked to restrict 17 unregistered crypto platforms from the Play Store. The affected apps include well-known platforms such as KuCoin and MEXC, signaling increased regulatory measures against unapproved exchanges.

Who does this affect?

This decision primarily affects South Korean users who can no longer access or update these unregistered crypto apps. It also impacts the foreign crypto exchanges themselves, like KuCoin and MEXC, that were targeting South Korean customers without proper registration. Additionally, other mobile platform operators, internet service providers, and potential new crypto market entrants might need to adjust their strategies in response to these regulations.

Why does this matter?

The actions taken by South Korea’s FIU show the country’s commitment to enforcing crypto regulations, which could influence market behaviors and compliance practices globally. The crackdown may increase operational costs for foreign exchanges as they seek compliance or lose a potential user base in South Korea. This regulatory stance could also lead to more stringent monitoring and increased scrutiny in the global crypto markets, affecting investor confidence and market volatility.