South Korea’s Financial Services Commission (FSC) has proposed banning the purchase of crypto assets (virtual currency) using credit cards. The reason cited is concern about “illegal outflow of domestic funds overseas.”

In order to prevent fund outflows and money laundering, the FSC stated in a text on the 4th that it would like to expand the scope of prohibited credit card payments to include crypto asset exchanges.

The FSC is seeking comments on the proposal until February 13th.

In December 2023, the FSC proposed rules for user protection for crypto exchanges, requiring exchanges to store at least 80% of customer assets in cold wallets. The rules also require exchanges to pay fees when using customers’ deposited assets.

｜Translation/Editing: CoinDesk JAPAN Editorial Department
｜Image: Unsplash