South Korea has introduced new regulations requiring foreign property investors to disclose cryptocurrency transaction histories when purchasing real estate. Effective February 10, 2025, the Financial Services Commission mandates that foreign nationals provide detailed documentation of digital asset proceeds as part of a broader effort to curb market speculation and enhance transparency.
The amended "Foreign Exchange Transactions Regulations" expand anti-money laundering protocols, requiring disclosure for property transactions exceeding 100 million KRW (approximately $75,000). Foreign buyers must submit verified records from virtual asset service providers, including transaction histories and conversion details. This move addresses concerns over opaque capital inflows, with foreign investment in Seoul's luxury apartment market rising by 34% in 2024.
The regulations align with South Korea's "Anti-Speculation 2.0" initiative, aiming to stabilize the property market and prevent manipulation linked to cryptocurrency. Compliance costs for foreign investors may increase, but the policy is expected to reduce speculative investments by 15-20% within the first year. The international community is closely monitoring these developments as a potential model for integrating cryptocurrency oversight with traditional financial regulations.
South Korea Enforces Crypto Disclosure for Foreign Property Investors
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