South Korea Bill Seeks End to 'One Exchange, One Bank' Rule

A bill aimed at ending South Korea's 'one exchange, one bank' rule has been passed to the National Assembly for review.

The proposed amendment would allow cryptocurrency exchanges in South Korea to secure real-name accounts from multiple banks, potentially replacing the current system where each exchange partners with a single bank.

Currently, major exchanges such as Upbit and Bithumb partner with specific banks, but the new bill could lead to a more flexible banking structure for virtual-asset service providers.

The Financial Services Commission has expressed caution about changing the system immediately, citing concerns over anti-money-laundering efforts and the exchange market's competitive structure.