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BitGo Korea Secures VASP Registration for Institutional Custody

Hana Financial Group and SK Telecom are strategic shareholders. The entity is registered for custody and transfer services, not exchange operations.

Written By Dhara Chavda
Published 6 seconds ago
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BitGo Korea Secures VASP Registration for Institutional Custody
AI Summary
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BitGo Korea received VASP registration, enabling its NYSE-listed parent to offer custody services to Korean institutions.
Hana Financial Group and SK Telecom hold strategic, undisclosed stakes in BitGo Korea, supporting its market entry.
CEO Chen Fang and co‑founder Mike Belshe lead the firm’s regulatory push, emphasizing local compliance and infrastructure.

BitGo Korea has received acceptance of its Virtual Asset Service Provider registration from the Korea Financial Intelligence Unit, allowing the NYSE-listed custody firm’s local entity to provide virtual asset custody and transfer services to institutional clients in South Korea.

Hana Financial Group and SK Telecom are strategic shareholders in BitGo Korea, according to the company’s announcement. It did not disclose the size of either stake.

Registration Covers Custody and Transfers

The registration permits BitGo Korea to serve institutional and enterprise clients, which the company said include financial institutions, asset managers, corporates, public-sector organizations, and other qualified market participants. It does not cover exchange operations.

South Korea’s regime operates under the Act on Reporting and Using Specified Financial Transaction Information, under which providers report to KoFIU and receive acceptance rather than a license. BitGo said the entity established local security, anti-money laundering, internal control, and operational frameworks as part of the process.

Company Built Rather Than Bought

BitGo established a new entity rather than acquiring an existing registered provider, which the company said reflects a long-term commitment to the market and its regulatory framework.

That contrasts with the route foreign firms have typically taken. Crypto.com secured its Korean registrations in 2022 by acquiring payment service provider PnLink and virtual asset service provider OK-BIT.

BitGo describes BitGo Korea as the first newly established Korean entity of a global digital asset company to receive VASP registration acceptance since the regime was introduced.

Executives Cite Local Requirements

Chen Fang, chief executive of BitGo Korea and chief revenue officer of BitGo, said the company chose to establish the entity locally and complete registration directly because serving Korean institutions requires a long-term commitment to the market and its regulatory framework, and that the approval gives it a foundation to serve institutional clients through a locally registered entity.

Abel Seow, managing director and head of APAC sales, said Korean institutions are looking for infrastructure that combines institutional-grade security with local support and regulatory alignment.

Mike Belshe, chief executive and co-founder of BitGo, said the registration is a milestone in the company’s strategy to build regulated digital asset infrastructure in key markets. In a post on X, he described the entity as two years in the making and said it expands the company’s global GoNetwork.

Registration Comes as Korean Requirements Tighten

South Korea removed the 1 million won threshold for its crypto Travel Rule this month, requiring registered providers to exchange transaction information for transfers of any value. The Cabinet approved the amendments on August 11, and existing providers receive a one-year grace period for some new financial, staffing, infrastructure, and internal-control requirements.

Regulators have also agreed to cap major shareholder stakes in crypto exchanges at 20%, with exceptions to 34% subject to approval, reported here in March. Separate revisions to the Foreign Exchange Transactions Act require companies handling overseas crypto transfers to register with the Minister of Economy and Finance.

BitGo Holds Registrations in Five Other Jurisdictions

BitGo lists regulated entities, including BitGo Bank & Trust, chartered by the Office of the Comptroller of the Currency; BitGo New York Trust Company, regulated by the New York Department of Financial Services; BitGo Singapore, licensed by the Monetary Authority of Singapore; BitGo Europe GmbH, licensed under MiCAR by Germany’s BaFin; and entities in Dubai licensed by the Virtual Assets Regulatory Authority.

BitGo Europe launched a MiCAR-compliant crypto-as-a-service platform in June. The company reported second-quarter results on August 12, with clients on the platform up 26% year-over-year, normalized assets on the platform up 31%, and normalized assets staked up 36%.

Institutional custody providers have been expanding into the Korean market. Ripple and local custodian BDACS launched XRP custody services in South Korea in August 2025.

Disclaimer: The information researched and reported by The Crypto Times is for informational purposes only and is not a substitute for professional financial advice. Investing in crypto assets involves significant risk due to market volatility. Always Do Your Own Research (DYOR) and consult with a qualified Financial Advisor before making any investment decisions.

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