South Korea considers relaxing the review rules and admission criteria for major shareholders of VASPs, sparking controversy; the landscape of exchange mergers and acquisitions may undergo changes

According to South Korean media NATE, the Korea Regulatory Reform Committee has proposed amendments to the enforcement decree of the Specific Financial Transaction Information Act, excluding minor violations from the qualification restrictions for major shareholders of Virtual Asset Service Providers (VASP).

This move has sparked discussions in the market regarding exchange mergers and acquisitions, the entry of new businesses, and the fairness of regulation. The proposal to relax restrictions also involves issues related to the boundaries of the enforcement decree's authority.