Crypto.com, a cryptocurrency-focused global finance company, has signed a new collaboration with KG Inicis, one of South Korea’s leading payment infrastructure providers. In line with this agreement, Crypto.com’s payment service will be integrated into the extensive merchant network that carries out more than 400 million transactions annually through KG Inicis.
KG Inicis and Its Position in the Industry
KG Inicis has an approximately 40 percent share in the South Korean payment solutions market and serves nearly 190,000 businesses. These businesses operate both in physical stores and on the e-commerce side. Therefore, it constitutes an important part of the payment infrastructure that tourists or local users coming to the country frequently contact.
Thanks to this new partnership, these merchants will be able to collect their payments instantly in fiat currency or digital assets, if they wish. Thus, the obligation of businesses to hold crypto assets is eliminated. This flexibility will offer significant convenience, especially for those considering the use of digital assets for the first time.
Focus: Ease of Payment with Digital Assets for Tourists
The targeted user audience in the first place is the millions of tourists visiting South Korea. The ease of instant payment with crypto in physical stores or online Korean-based shopping sites aims to prevent time and cost losses in processes such as currency exchange or international card use. A more attractive shopping experience is aimed for foreign users, especially with fast digital asset payments.
Preparation Process for Entering the Market
Crypto.com has long focused on infrastructure investments to comply with legal requirements in South Korea. With its partnership with KSNET in May 2025, it laid the foundation for crypto payments in the retail field. The agreement made with Travel Wallet in October of the same year focused on meeting the payment needs of travelers coming from abroad.
Prior to this, with the acquisition of PnLink and OK-Bit companies, the licenses required under the Electronic Financial Transaction law in South Korea were obtained. These steps laid the foundation for legal compliance, paving the way for a comprehensive collaboration with KG Inicis.
Regulatory Approach and Licensing Process
South Korea stands out as one of the countries with the most stringent and structured regulations in Asia in the cryptocurrency industry. In the country, which requires a Virtual Asset Service Provider license, known as VASP, and strictly enforces standards to prevent money laundering, legal compliance is required from foreign companies that want to operate in the field of digital assets.
Both Crypto.com and KG Inicis stated in their statements that the cooperation will be implemented in accordance with local laws and regulations. The two companies emphasized that the same compatibility approach will be maintained in future projects.
Different policies attract attention in other countries in the region. For example, while efforts to ban foreign crypto platforms came to the fore in Vietnam, Argentina blocked the activities of Polymarket company due to similar concerns. South Korea, on the other hand, keeps the regulatory framework tight, allowing foreign companies that provide the necessary licenses to operate. The licensing and purchasing steps taken by Crypto.com are considered as a market entry compatible with this model.
It is anticipated that the next process will be shaped depending on how quickly merchants adopt the new payment infrastructure. Although the infrastructure on the retail ecosystem in the country exists, the change in behavior on the user side and how daily payment habits will evolve will become clear over time.
