South Korea Expands Crypto Ban, Blocks 14 Exchanges on Apple Store

South Korea's Financial Services Commission (FSC) announced on April 11 the blocking of 14 crypto exchanges on the Apple Store. This action expands the ban on digital asset firms servicing South Korean citizens. Affected exchanges include KuCoin and MEXC, impacting users' access to these platforms.

The FSC's report, made public on April 14, alleges that the banned exchanges were operating as unregistered overseas virtual asset operators. The Financial Information Analysis Institution (FIU) will continue blocking apps and internet sites of such operators. This is aimed to prevent money laundering and user damage.

This request follows Google Play's March 26 block of 17 unregistered exchanges. The FSC warns that "unreported business activities are criminal punishment matters." Penalties include up to five years in prison and a fine of up to 50 million won ($35,200).

On March 21, it was reported that the FIU and FSC were considering sanctions against unregistered crypto exchanges. As of March 31, crypto exchange users in South Korea exceeded 16 million. Over 20% of South Korean public officials hold cryptocurrencies, totaling $9.8 million as of March 27.