The Korea Exchange has introduced new regulations: companies listed under technical exceptions that transition to businesses such as "cryptocurrency asset investment" will face delisting reviews

According to the Korea Exchange (KRX) announcement on July 2, to further improve the KOSDAQ market system, KRX has officially revised the relevant listing rules and implementation details, aiming to strictly control the deviation of technology special listing companies from their main business.

The new regulations clearly state that companies listed through technology exceptions that change their main business direction within 5 years after listing (excluding businesses similar to or subsidiary to the original main business) will be subject to substantial delisting review. KRX officials specifically cited an example where a related biotechnology company transferred its management rights to an overseas digital asset company after listing last year and illegally transformed into a "cryptocurrency vault" and other digital asset professional investment institutions. KRX emphasized that such behavior has caused the company to deviate from the technical and growth assessment basis approved at the time of listing, and therefore must undergo strict delisting review.

In addition, the new regulations have added additional restrictions to the grace period for delisting conditions enjoyed by special listing companies (i.e., exemption from revenue insufficiency or large-scale losses within 3 to 5 years), requiring relevant companies to publicly disclose their "corporate value enhancement plans" during this period to ensure future growth and strengthen communication with investors. This revision of regulations also includes measures to optimize the capital market, such as expanding customized qualitative review standards for innovative companies and establishing a low PBR (price-to-book ratio) company disclosure system.