BitGo has secured a regulated foothold in South Korea after the Financial Intelligence Unit (FIU) accepted BitGo Korea’s Virtual Asset Service Provider (VASP) registration. This approval marks the first time that a Korean-based subsidiary of a foreign cryptocurrency firm has been registered directly with regulators rather than by purchasing an existing licensed operator.
Chen Fang, BitGo Korea CEO and BitGo Chief Revenue Officer, stated that the approach reflects a long-term commitment to South Korea's regulatory framework. Abel Seow, Managing Director and Head of APAC Sales at BitGo, added that the move highlights a growing interest in security alongside local regulatory alignment.
The development expands institutional custody competition and demonstrates that foreign cryptocurrency firms can enter the South Korean market directly by meeting domestic requirements. The approval comes as South Korea enhances controls on offshore fund flows from domestically regulated entities.
Under the updated South Korean framework, domestic VASP transfers require sender and recipient information regardless of transaction size. Meanwhile, offshore exchanges and self-hosted wallets face further verification requirements for user identities, with most transfers requiring same-person ownership. Transactions worth 10 million won or more also trigger mandatory internal monitoring when sent to these destinations.
These updates create a clearer divide between domestic and offshore access, allowing registered firms like BitGo Korea to operate within the local framework while unregistered counterparties face increased scrutiny.
