South Korea expanded restrictions to hinder the movement of crypto assets between local platforms and offshore markets, including new information requirements and monitoring of transfers exceeding 10 million won, about US$ 7,000.
The changes began with the removal of exchanges Bybit, MEXC and HTX from the local Google Play Store, limiting direct distribution through mobile apps. The restrictions now cover at least 29 unregistered derivatives platforms.
The new rules allow brokerages to request information on user accounts, including names, reasons for each transfer, and the origin of funds. Transfers above 10 million won, equivalent to about US$ 7,000, will receive enhanced monitoring when sent abroad or to self-custody wallets.
Outflow
Gross outflows totaled 2.76 trillion won, versus 2.20 trillion won that returned to domestic platforms. Since January 2025, cumulative net outflows have reached about 14.9 trillion won, indicating consistent interest in exchanges outside South Korea.
Regulators have a significant flow pattern to target when enforcement begins. If net outflows and large transfers decline after implementation, the restrictions will be limiting overseas movements; if they remain high, capital will be finding alternative routes.
