Population
51.7M
Online population
50.4M
Currency
KRW
Population - 51.7M
At the start of 2025, 81.5% of the Republic of Korea’s population lived in urban centres, while 18.5% lived in rural areas.
Internet penetration - 97.4%
There were 50.4M internet users in South Korea at the start of 2025.
Regulation and Policy:
Over the past few years, Seoul has made significant strides in fintech innovation, and regulators are matching this ambition. The Financial Services Commission (FSC) has run a strong **regulatory sandbox** that now covers more than 520 “innovative financial services” — everything from payments and MyData to robo-advisory and blockchain identity.
In 2025, a big legal shift landed: the Framework Act on Intelligent Informatization (FAII) was passed (scheduled to take effect on 22 January 2026), meaning fintechs that use “high-impact AI” — for example in lending or credit scoring — will face new rules on system safety, transparency, and user notification.
On the data front, Korea’s strict “network separation” rules are being loosened — financial institutions can now apply for sandbox exemptions to use generative AI or cloud tools, provided they meet strong cybersecurity standards.
Market & Innovation
On the ground, Korea’s fintech picture is dominated by mobile-first super-apps and QR/NFC payments. Players like Toss, Kakao Pay, and Naver Pay aren’t just for peer-to-peer money transfers — they’re mini financial hubs for loans, insurance, and investments.
Toss alone has become deeply embedded in Korean daily life and is now looking to go global, eyeing markets overseas.
Meanwhile, the government is betting on long-term tech: through a massive AI-innovation push, it plans to back 30 major AI projects with a public-private fund, and fintech is squarely in that crosshairs.
Lately, Korea’s Fintech landscape is a combination of massive consumer adoption of mobile wallets and all-in-one super-apps, operating under a regulatory framework that actively encourages experimentation. At the same time, laws and regulations ensure that innovation doesn’t come at the cost of security or stability. The result is a fintech ecosystem that is simultaneously nimble, cutting-edge, and rigorously structured, bridging startup creativity with national-level oversight.