BitGo Registered as a Cryptocurrency Business in South Korea, Reports Say

Key Points of This Article

• Hana Financial holds a 25% stake, SK Telecom holds a 10% stake
• Plans to provide custody services for financial institutions and corporate clients

First Foreign Company to Directly Obtain VASP Registration

BitGo Korea, the South Korean subsidiary of cryptocurrency infrastructure company BitGo, was reported by local media on the 20th to have received registration as a Virtual Asset Service Provider (VASP) from the Financial Intelligence Unit (FIU) of South Korea on the 18th. According to the company, this marks the first instance of a South Korean subsidiary with majority foreign investment directly obtaining VASP registration.

Established in 2024, BitGo Korea is 25% owned by South Korea's Hana Financial Group and 10% by SK Telecom. While many foreign cryptocurrency companies have entered the South Korean market by acquiring existing VASP-registered businesses, BitGo has chosen to bring its own technology and systems directly.

Relation to Strengthened Review Standards

With this registration, the company plans to offer cryptocurrency storage and transfer services to financial institutions and corporate clients. The start date for these services has not been disclosed. Chen Fang, the company's Chief Revenue Officer and representative of BitGo Korea, stated, "It is significant that we have undergone verification of our technology and systems within the regulatory framework of South Korea," suggesting that this could serve as a model for foreign companies entering the South Korean market.

On the 20th, a revised system strengthening the review standards for VASP registration was implemented in South Korea. This includes expanding the review targets to representatives and controlling shareholders, as well as new requirements such as a debt ratio of 200% or less and no defaults in the past three years. BitGo Korea's registration application was accepted on the 18th, but it has not been clarified whether the strengthened standards were applied by either the South Korean Financial Services Commission or the company itself.