BitGo Korea has received acceptance of its Virtual Asset Service Provider registration from South Korea’s Financial Intelligence Unit, making it the first newly established Korean entity of an overseas digital asset company to complete the process directly. The acceptance was dated Aug. 18 and announced by BitGo on Aug. 19, one day before stricter VASP rules took effect on Aug. 20.
The company plans to provide custody and transfer services to institutional and corporate clients. It was established in 2024 and deliberately built its own Korean entity instead of acquiring an existing VASP. Chen Fang, BitGo Korea’s chief executive, said serving Korean institutions requires a long-term commitment to the market and its regulatory framework. However, BitGo did not disclose a launch date, supported assets, custody fees, insurance coverage, initial customers, or expected custody volumes.
The registration is backed by two major Korean shareholders: Hana Financial Group owns 25% of BitGo Korea, while SK Telecom holds 10%. Hana Bank began working with BitGo on custody in 2023, and the stakes were formalized in September 2024. Hana has also invested in Upbit operator Dunamu and cooperates with Standard Chartered on tokenized deposits, stablecoins, custody, and payment infrastructure.
The timing matters because South Korea’s amended VASP regime took effect on Aug. 20, adding statutory definitions for major shareholders, extending disqualification checks, and introducing new financial condition, social credibility, staffing, cybersecurity, AML, and internal-control requirements. Applicants must maintain a debt ratio of no more than 200% and cannot have defaulted during the previous three years. Existing VASPs, including BitGo Korea, must re-report under the amended framework within three months. South Korea also removed the existing 1 million won Travel Rule threshold, requiring sender information for transfers of every value between registered domestic VASPs. Within six months, registered providers must report transfers of at least 10 million won to overseas VASPs or wallet services to the FIU.
BitGo Korea’s approval is particularly relevant as Korea finalizes stablecoin legislation and prepares a spot crypto ETF structure in which banks would hold legal custody as trustees while subcontracting actual asset custody to licensed VASPs. That could position the firm for institutional custody demand. Globally, BitGo already holds regulatory approvals in Germany, Singapore, Dubai, Denmark, and Switzerland, and in July 2026 received OCC approval to convert its US trust company into a national trust bank.
The Korea announcement also arrives as BitGo’s listed stock remains under pressure. BitGo went public on the NYSE at $18 per share in January 2026, but shares closed at $6.25 on Aug. 19. The company reported second-quarter revenue growth on Aug. 12, but margins compressed, and a securities lawsuit alleges misrepresentation of margin compression and bitcoin treasury losses. The Korean registration is not directly connected to those issues, but it provides a regulated expansion story as the company faces scrutiny in its core trading and treasury businesses.
