Major crypto exchanges in South Korea face new ownership limits
The change aims to balance growth and governance, limiting excessive control while supporting new crypto market entrants.
South Korea’s ruling Democratic Party and the Financial Services Commission have agreed to cap major shareholder stakes in domestic crypto exchanges at 20%. Exceptions of up to 34% would apply to new businesses to support early-stage operators.
Large exchanges like Upbit and Bithumb will have 3 years to comply, while smaller platforms will receive an additional 3-year grace period.
Current ownership exceeds the proposed cap, with Upbit at 25.5%, Bithumb at 73.6%, and Coinone at 53.4%. Korbit’s pending acquisition would give Mirae Asset Consulting 92% ownership, highlighting the extent of concentrated holdings in the market.
The cap seeks to curb governance risks from concentrated shareholding, following the FSC’s January 2026 proposal. The move gained urgency after Bithumb’s accidental $43 billion Bitcoin transfer, which raised concerns about internal controls.
The ownership limit will likely be included in South Korea’s upcoming Digital Asset Basic Act, alongside rules on stablecoins and crypto ETFs.
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