South Korea’s Financial Intelligence Unit (FIU) announced on Tuesday that it is blocking domestic web access to 27 unregistered crypto exchanges, including KuCoin, BitMart and MEXC.
Blocks on unregistered crypto exchanges
The measures were approved by the Korea Communications Standards Commission after reviews on October 6 and 7. Overseas-run sites will be blocked, while domestically operated ones face service termination. The step extends earlier restrictions, when the exchanges’ mobile apps were blocked on Google and Apple stores in 2025.
Regulators can now seek website blocks as soon as they detect unregistered activity, without a court ruling or evidence of customer losses. The FIU said it will seek further blocks on sites that reopen under new addresses, and has referred 44 unregistered operators to investigators. Only 28 virtual asset service providers are currently registered.
What it means for users
The FIU said any exchange that wants to legally serve South Korean customers must register and meet security and anti-money-laundering requirements. It urged investors to confirm their exchange is registered and to withdraw assets from unauthorised operators, and said it will work with the Digital Asset eXchange Alliance to help affected customers withdraw funds where needed. No deadline for registration was set.
A KuCoin spokesperson said user assets remain safe and secure. An estimated $110 billion in crypto left South Korean domestic exchanges in 2025 as investors moved assets overseas amid stricter rules.
