Bank of Korea To Track Overseas Crypto Transfers

South Korea's central bank has introduced new reporting requirements that will require domestic crypto exchanges to disclose the monthly holdings of users who have previously transferred digital assets overseas, according to CryptoNews. Starting December 2, the framework applies to users who have transferred cryptocurrencies to overseas exchanges or personal wallets at least once since July 19, 2024.

According to a reporting manual obtained by lawmaker Park Soo-young and cited by local media outlet Digital Asset, affected service providers must submit month-end holdings under a new report known as FX1021. The requirement applies even during months without international transfers, provided users continue to hold reportable assets.

Scope and Calculation Rules

Exchanges must include dormant accounts, delisted cryptocurrencies, and staked assets when calculating monthly balances. Valuations must be computed at 11:59:59 p.m. on the final calendar day of each month, with reports due by 5:30 p.m. on the 10th of the following month through the Bank of Korea's foreign exchange information network.

Where an exchange cannot determine the price of an asset, valuations may be based on prices from other Korean exchanges or CoinMarketCap. Users with zero balances or closed accounts must still be included in the reporting month they become inactive.

Historical Review and Regulatory Context

The central bank has selected July 19, 2024—the implementation date of the Virtual Asset User Protection Act—as the starting point for identifying qualifying international transfer histories. The Bank of Korea has not yet decided whether exchanges must submit historical transaction records covering the period between July 19, 2024, and the December launch, and intends to consult service providers first.

Key facts

• Effective Date: The new FX1021 reporting system takes effect on December 2.
• Qualifying Users: Applies to individuals who transferred crypto overseas at least once since July 19, 2024.
• Included Assets: Dormant accounts, delisted tokens, and staked assets must be factored into monthly balance calculations.
• Submission Deadline: Reports must be submitted by 5:30 p.m. on the 10th of the following month.