South Korea’s financial regulator plans to regulate token lending services on crypto exchage

PANews reported on July 22 that according to Edaily, the Korean financial regulatory authorities plan to introduce regulatory standards equivalent to the stock market for token lending services provided by crypto exchanges. Currently, Bithumb offers token lending services up to 400% of collateral value, while Upbit provides Bitcoin lending services up to 80% of collateral. Financial authorities believe such services are essentially equivalent to short selling and are considering introducing corresponding regulatory measures in the ongoing second phase of virtual asset legislation.