South Korea to Recognize Crypto Firms as Venture Companies Starting September 16

South Korean regulators have overturned a longstanding prohibition, allowing cryptocurrency businesses to qualify as venture companies for the first time since 2018. The Ministry of SMEs and Startups approved amendments to the Venture Business Act, signaling a shift in the country's approach to digital assets.

The policy change reflects South Korea's evolving stance on crypto, moving from skepticism to measured acceptance. Venture certification grants access to tax benefits, funding opportunities, and other support mechanisms previously reserved for traditional startups.

This decision aligns with broader regional trends of institutional crypto adoption, though the government maintains oversight through existing financial regulations. The move could accelerate innovation in blockchain infrastructure and Web3 applications within Korea's tech ecosystem.