Korea May Scrap Cryptocurrency Exchange "One Bank Account per Exchange" Rule, Regulators Assess Market Competition Impact

January 20 South Korea’s financial regulator is assessing whether to scrap the long-running “one exchange, one bank” rule for crypto exchanges, local media reports say. The review—led by the Financial Services Commission (FSC) and Fair Trade Commission—aims to determine if the current setup worsens market concentration. The report notes the rule isn’t enshrined in law but emerged gradually under anti-money laundering (AML) and customer due diligence requirements. Some research indicates the model could restrict small and medium-sized exchanges’ access to banking services, entrenching the dominance of top platforms. The debate also ties into South Korea’s progress on the second phase of legislation for the Digital Assets Basic Law. The bill would allow issuance of a Korean won stablecoin, but disagreements remain over the regulatory framework and approval processes—with the submission deadline pushed back to 2026.