South Korea Imposes Ownership Caps on Major Crypto Exchanges
South Korean authorities are moving to limit major shareholder stakes in the country's four largest cryptocurrency exchanges to 15-20%. The Financial Services Commission's proposed Digital Asset Framework Act would force existing owners above this threshold to divest shares, targeting exchanges classified as 'core infrastructure' for virtual asset distribution.
Upbit, Bithumb, Coinone, and Korbit—platforms serving over 11 million users—now face stricter regulations than traditional capital markets. While current rules allow 30% ownership with regulatory approval, the new regime reflects concerns about concentrated control and profit distribution among exchange founders.
The measures underscore Seoul's tightening grip on crypto governance following last year's market turmoil. Exchange operators must now balance compliance with maintaining Korea's position as a global digital asset hub.
