Following regulatory reviews conducted on October 6 and 7, South Korea has greenlit restrictions against 27 unregistered cryptocurrency websites, featuring major platforms like KuCoin, MEXC, and BingX. The Financial Intelligence Unit (FIU) initiated the move to restrict unauthorized crypto operations catering to domestic users in accordance with South Korean financial rules.
The Financial Services Commission (FSC) made the official announcement on October 13 after the Korea Communications Standards Commission endorsed the blocks. The initiative cuts off domestic access to overseas websites and shuts down operations linked to local servers, scaling up a previous enforcement push against unregistered crypto exchange apps throughout the country.
South Korea Orders Website Blocks on 27 Unregistered Overseas Crypto Exchanges, Including KuCoin, MEXC and BingX
South Korea's Financial Intelligence Unit (FIU) announced that the country's communications review authority has ordered domestic access restrictions on 27… pic.twitter.com/TWnze71oUY
— Wu Blockchain (@WuBlockchain) October 13, 2026
Crypto Regulations Target Unregistered Overseas Exchanges
Additional major platforms impacted by the ban include Phemex, XT.com, Bitrue, CoinW, Poloniex, BTCC, and BitMart. South Korean law mandates that virtual asset service providers marketing to local users must register with the FIU and satisfy specific compliance standards.
Regulators determine if foreign platforms provide Korean-language support, market their offerings to local consumers, or facilitate transactions using the Korean won. Such practices signal that an exchange operates within South Korea without proper registration. Officials have the authority to pursue website blocks directly without needing to await criminal proceedings or verified reports of consumer financial losses.
Existing App Restrictions Expand to Websites
This newest enforcement wave follows previous actions taken against unauthorized crypto exchange applications. In March 2025, Google Play started blocking 17 exchange apps, followed by Apple implementing comparable restrictions in April. Those steps restricted the downloading, installation, and updating of those programs via South Korean app stores.
Furthermore, the FIU has reported 44 unregistered virtual asset operators to law enforcement authorities. Licensed digital asset firms are obligated to block transfers linked to flagged, unauthorized entities, and non-compliance can result in administrative sanctions. Providing virtual asset services without proper registration carries potential criminal penalties of up to five years in prison or a fine reaching 50 million won.
Regulators Warn Crypto Users About Financial Risks
South Korean officials caution that unapproved exchanges place consumers at heightened risk of security breaches, data compromises, and withdrawal freezes. Retrieving assets becomes challenging when foreign platforms operate outside the scope of domestic oversight and consumer safeguarding laws.
The FIU intends to track alternative URLs and petition for further web blocks as required. Officials additionally plan to provide organized withdrawal instructions for users impacted by the bans. The commission urges traders to check an exchange’s registration status prior to depositing capital and to steer clear of pitches promising guaranteed profits.
Also Read: South Korea’s Jeonbuk Bank Launches First Bitcoin-Backed Business Loans
