South Korea scraps 1M won crypto Travel Rule threshold

South Korea’s Cabinet approved rules on Aug. 11 that will remove the 1 million won minimum for crypto Travel Rule checks, extending information sharing requirements to every transfer between registered domestic virtual asset service providers. Summary South Korea will apply its crypto Travel Rule to every transfer between registered domestic VASPs. Receiving exchanges must obtain sender and recipient information, requesting data or rejecting transfers when necessary. Transfers involving overseas exchanges and personal wallets will face risk based restrictions under the amendments. Transactions worth at least 10 million won involving foreign platforms or wallets require internal monitoring. Travel Rule changes take effect six months after promulgation, unlike registration provisions starting August 20. The Financial Services Commission said in its official release that the change is designed to stop users from avoiding scrutiny by splitting transfers into smaller amounts. The decision completes a regulatory process that began earlier this year. The Korea Financial Intelligence Unit had proposed expanding the rule after finding that roughly 60% of transfers between domestic VASPs wer...