South Korea Expands Crypto Oversight and Bank Adoptions
South Korea’s Jeonbuk Bank has partnered with Ripple to deploy a blockchain-based cross-border payment system aimed at business customers, including import-export companies, technology startups, and online content creators. According to Ripple, the system aims to offer faster and less expensive remittances compared to conventional SWIFT intermediary transfers.
In regulatory developments, a group of South Korean lawmakers led by People Power Party member Eom Tae-young introduced a bill to expand the Financial Intelligence Unit’s authority to investigate unregistered crypto businesses. The proposed legislation would allow public reporting of suspected violations and grant the agency powers to analyze, request criminal investigations, and file complaints.
Additionally, BitGo Korea secured virtual asset service provider (VASP) registration for institutional crypto custody ahead of stricter entry requirements, while the Korea Media and Communications Commission moved to block Polymarket over gambling concerns.
Japan and Pakistan Advance Licensing and Funding
In Japan, Nomura Group’s digital asset subsidiary, Laser Digital, received authorization to operate as a crypto asset exchange service provider under the Payment Services Act. The Financial Services Agency list indicated it is Japan's first crypto exchange license issued in four years, following Binance Japan in October 2022. Furthermore, Japan’s SBI Group led a $68 million Series C funding round in stablecoin neobanking platform Fasset at a $1 billion valuation.
In Pakistan, the Virtual Assets Regulatory Authority has opened its licensing portal for crypto exchanges and virtual asset service providers. Companies operating virtual asset services must submit applications for a no-objection certificate by Sept. 5 or cease operations.
Other Regional Developments
Singapore's Monetary Authority unveiled tax exemptions for fund managers and family offices to compete with tax cuts recently implemented in Hong Kong. Meanwhile, in the United Arab Emirates, Capital.com announced plans to offer spot crypto services following its affiliate's acquisition of a virtual-asset license from the Capital Market Authority.
