Crypto▼ Bearish
South Korea Ends $700 Crypto Transfer Minimum for Travel Rule
South Korea's Financial Intelligence Unit cited a case where 200 million won was split into 216 transfers to evade reporting. New rules take effect in 2026.
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South Korea scrapped the 1 million won minimum threshold for its cryptocurrency Travel Rule, closing a loophole that let users split large transfers into smaller batches to avoid reporting. The Financial Intelligence Unit documented a case where roughly 200 million won – about $140,000 – was deposited into a local exchange, used to buy Tether, and then withdrawn in 216 separate transfers, each under 1 million won.
Every transfer between registered virtual asset service providers must now include sender and recipient data, regardless of size. Recipient platforms must obtain full details before processing and can reject transactions that lack the information. Korean authorities said the old threshold had become a standard evasion tactic.