South Korea's financial regulator plans to issue guidelines for cryptocurrency lending services next month

PANews reported on July 31st that, according to Yonhap News Agency, South Korea's Financial Services Commission and the Financial Supervisory Service, along with the Digital Asset Exchange Association (DAXA) and five crypto exchanges, today established a working group (TF) and held its first meeting to develop "Guidelines for Virtual Asset Lending Services." The TF will integrate overseas regulations, stock market oversight, and the unique characteristics of the Korean market to formulate a basic regulatory framework. The guidelines are expected to cover leverage, service targets, the scope of loanable assets, user education and risk disclosure, and will also discuss exchanges' internal control standards. Financial regulators have also asked exchanges to review high-risk services. Authorities plan to release the guidelines next month and incorporate them into the second phase of virtual asset legislation.