Korea Digital Asset Exchange Association Opposes Proposal to Limit Exchange Shareholding Ratio
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The Korea Digital Asset Exchange Association (DAXA) has issued a statement opposing the proposed major shareholder ownership limit for cryptocurrency exchanges by the Financial Services Commission (FSC) of Korea. The FSC suggests capping the ownership ratio between 15% and 20% to address governance risks. DAXA believes this move will hinder the development of Korea's digital asset industry, undermine the foundation of emerging industries, and may lead to a decline in international competitiveness as well as a user shift to overseas platforms. In addition, dispersed ownership could weaken the responsibility of major shareholders for user asset custody and management, thereby harming user protection. This restriction is one of the review measures under the "Basic Act on Digital Assets," with related legislation expected to be completed in the first quarter of this year.
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