South Korea to require pre-need firms to review crypto investments in advance

South Korea’s Fair Trade Commission said today it will give advance notice for 20 days through Sept. 14 on a revised consumer protection guideline for prepaid installment transactions, under which pre-need service providers and other prepaid installment businesses must balance stability, liquidity and profitability when managing customer prepayments. The revised guideline requires sufficient review before high-risk transactions, including excessive investment in high-risk assets with a greater chance of principal loss such as derivatives, virtual assets and leveraged financial products, according to Aju Economy. Large companies holding at least 100 billion won in customer prepayments must set up and operate a prepayment management review committee to ensure stability in fund management and transparency in decision-making.