Korea Travel Rule Compliance Guide

1. What Is the Travel Rule?

The Travel Rule is an important requirement under global Anti-Money Laundering and Counter-Terrorist Financing (AML/CFT) regulations.

In certain compliance scenarios, exchanges may be required to verify user information and conduct compliance checks. As a result, when your transfer involves a platform subject to the Travel Rule or meets applicable regulatory thresholds, you may be required to provide additional information.

2. When Will Compliance Verification Be Required?

Travel Rule verification may be triggered under the following circumstances:

• You are a user in Korea;
• The transfer counterparty is a Korean Virtual Asset Service Provider (VASP);
• The transaction amount is KRW 1,000,000 or above;
• The deposit or withdrawal involves another regulated exchange platform.

3. What Information Is Required?

Once verification is triggered, you may be required to provide the following information:

• Recipient name;
• Recipient wallet address;
• Source of the wallet address (for transfers involving a VASP, select the relevant exchange).

Please ensure that the information provided matches the records maintained by the receiving platform to avoid verification failures.

4. What If Verification Fails?

Common reasons include a name mismatch, an address source mismatch, or an unsupported recipient platform. You may correct the information and resubmit the transaction, or cancel the transaction and follow the on-screen instructions.

In cases of repeated verification failures or elevated risk, transfers may be rejected or delayed, funds may be temporarily held or returned, and the platform may impose restrictions on related transactions.

5. How Is My Personal Information Used?

The information you provide is used solely for Travel Rule compliance verification and is transmitted in encrypted form only between Hotcoin and the counterparty VASP. It will not be used for any other purpose or shared with unrelated third parties.

If you have any questions, please contact Hotcoin Customer Support for assistance.