CoinDesk
South Korea is blocking the websites of 27 unregistered crypto exchanges, including KuCoin, BitMart and MEXC, after restricting access to their mobile apps last year. The Financial Intelligence Unit said the Korea Communications Standards Commission approved the restrictions following reviews on Oct. 6 and 7.
For overseas-operated platforms, authorities will block website access, while domestically operated services face termination. Regulators can seek blocks after detecting unregistered activity without waiting for a court ruling or evidence that customers have already lost money.
Why it matters
Foreign exchanges must register with South Korea's FIU and meet security and anti-money-laundering requirements to legally serve local customers. The latest action removes a major alternative access route and signals that enforcement is moving from app stores to the broader web.
The FIU has referred 44 unregistered operators to investigators and said it will pursue further blocks if websites reopen under new addresses. Only 28 virtual asset service providers are currently registered with the regulator.
Market impact
The immediate risk is concentrated on customers using unauthorized platforms. The FIU warned that investors may face difficulties recovering funds and urged them to verify an exchange's registration and withdraw assets from unauthorized operators. It will work with the Digital Asset eXchange Alliance to help affected users withdraw funds where restrictions create access problems.
The crackdown also adds pressure to foreign exchanges seeking South Korean customers, while local investors have already been moving crypto overseas. An estimated $110 billion left domestic exchanges in 2025 as stricter rules reshaped the market.
Frequently asked questions
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Which crypto exchanges are included in South Korea's website blocks?
The blocked platforms include KuCoin, BitMart and MEXC, among 27 unregistered crypto exchanges targeted by South Korean authorities.
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Why is South Korea blocking these exchange websites?
The exchanges are unregistered and therefore cannot legally serve South Korean customers. Authorities are extending earlier restrictions on their mobile apps to website access.
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What must a foreign exchange do to operate legally in South Korea?
It must register with the Financial Intelligence Unit and meet South Korea's security and anti-money-laundering requirements.
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What risks do users of unauthorized exchanges face?
The FIU warned that customers may have difficulty recovering funds after access restrictions. It urged users to verify registration and withdraw assets from unauthorized operators.
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How many virtual asset service providers are registered in South Korea?
South Korea currently has 28 registered virtual asset service providers. The FIU has referred 44 unregistered operators to investigators.
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