Crypto.com has put its foray into the South Korean market on hold due to regulatory issues, according to a recent report by Bloomberg.
In its recent email, the company noted that it is challenging for foreign exchanges to break into South Korea. At the same time, it has stressed that it remains committed to cooperating with local regulatory authorities.
The company initially announced the launch of its app in South Korea earlier this month. It said that its South Korean customers would be able to gain access to more than 150 cryptocurrencies as well as some exclusive non-fungible token (NFT) projects.
Arman ShirinyanCrypto.com said that South Korea, the 14th largest economy in the world, is "a market of tremendous importance."
As reported by U.Today, the South Korean won recently surpassed the U.S. dollar in crypto trading volumes due to the massive popularity of altcoins in the country. Meanwhile, South Korean exchanges are in the middle of a fee war, with Upbit, the leading local exchange, facing stiff competition from the likes of Bithumb and Upbit.
Meanwhile, South Korea's political parties were trying to court crypto-friendly voters ahead of the legislative elections that were held in April. This shows the growing importance of the crypto sector in the country.
Back in August 2022, the cryptocurrency giant announced the acquisition of two South Korean cryptocurrency firms (OK-BIT and PnLink). These deals made it possible for Crypto.com to secure important regulatory licenses in the country.
Dan Burgin
Vladislav Sopov