- Crypto.com postpones South Korea entry.
- The company had acquired OK-BIT and PnLink for regulatory compliance.
- Despite the temporary halt, the company remains committed to navigating challenges to eventually enter the country.
Crypto.com has decided to halt its plans to enter the South Korean market temporarily.
The move comes as the company faces regulatory challenges in one of the world’s most vibrant cryptocurrency hubs.
Crypto.com facing regulatory hurdles despite acquisitions
Earlier this month, Crypto.com announced its plans to enter the South Korean market, to offer South Korean customers access to a wide range of cryptocurrencies and exclusive non-fungible token (NFT) projects.
With South Korea being the 14th largest economy globally, the move was deemed as a strategic one.
However, despite initial enthusiasm, Crypto.com encountered regulatory challenges that have forced it to put its South Korean expansion on hold. In a recent email, the company acknowledged the difficulties faced by foreign exchanges in breaking into the South Korean market. Nevertheless, it reiterated its commitment to collaborating with local regulatory authorities to navigate through the complexities.
The company had made significant strides towards establishing its presence in South Korea by acquiring two local cryptocurrency firms, OK-BIT and PnLink in August 2022. Through these acquisitions, Crypto.com was laying the groundwork to secure essential regulatory licenses in the country as it laid the groundwork for its planned expansion.
Despite the regulatory setbacks, Crypto.com remains optimistic about its prospects in South Korea. The company recognizes the market’s tremendous potential and the opportunities it presents for growth.
Crypto.com aims to eventually make its mark in one of the world’s most dynamic cryptocurrency markets after addressing regulatory concerns and fostering cooperation with local authorities.