South Korea Moves to Force Crypto Finfluencers to Disclose Holdings Under New Proposed Law
TLDR: South Korea’s Democratic Party is drafting bills requiring finfluencers to disclose crypto holdings and compensation before advising followers. Reports of illegal investment advisory activity surged from 132 cases in 2018 to 1,724 cases in 2024, prompting stricter oversight. Penalties for finfluencer violations are expected to match existing laws on market manipulation and pre-emptive trading in Korea. Researchers are calling for pre-monitoring, post-sanctions, and added social media rules to protect retail crypto investors from misleading advice. South Korea is proposing a law that would require finfluencers to disclose their crypto holdings. Democratic Party lawmaker Kim Seung-won is leading the push with two amendment bills. The legislation targets influencers who advise followers on stocks and virtual assets through social media. Holdings, compensation, and asset quantities would all need to be made public. Reports of illegal investment advisory activity have ...