Hyperithm, a digital asset manager based in Tokyo and Seoul, announced that it has acquired the Virtual Asset Service Provider (VASP) license from the Korean Financial Intelligence Unit (KoFIU).
In accordance with the revised Act on the Reporting and Use of Specific Financial Transaction Information, which came into effect in March 2021 in Korea, crypto-related businesses must acquire the VASP license to continue their operations. Qualifications for the license consist of Information Security Management System (ISMS) certification and a review by the financial authorities. Hyperithm applied for the license in September this year.
According to the aforementioned Act, Virtual Asset Service Providers are now classified as “financial institutions” in Korea and must abide by Know Your Customer (KYC) and Anti-Money Laundering (AML) guidelines at a financial institution level. “We plan to faithfully fulfill our obligations to comply with relevant regulations, such as the Travel Rule, which will be implemented from March next year,” said Lloyd Lee and Sangrok Oh, the Co-CEOs of Hyperithm.
Founded in January 2018, Hyperithm offers digital asset management and execution brokerage dedicated to institutional investors and high net-worth individuals. Co-founded by an ex-Morgan Stanley investment banker and a serial entrepreneur, Hyperithm boasts an engineering talent pool consisting of several International Math Olympiad medalists. In the recent Series B round, it raised $11 million from investors including Hashed, Wemade Tree, Coinbase Ventures and Samsung Next.
According to the KoFIU, as of December 23rd, 29 companies have acquired the VASP license in Korea, including Hyperithm.