South Korean financial regulatory authorities plan to regulate token lending services on cryptocurrency exchanges

According to Edaily, South Korea's financial regulatory authorities plan to introduce regulatory standards equivalent to those of the stock market for token lending services provided by the country's cryptocurrency exchanges. Currently, Bithumb offers token lending services up to 400% of the collateral value, while Upbit provides Bitcoin lending services up to 80% of the collateral value. The financial authorities believe that such services are essentially equivalent to short selling transactions, and are considering introducing corresponding regulatory measures in the ongoing second phase of virtual asset legislation.