According to local news agency Yonhap, South Korea's top financial regulator has issued new guidelines on NFTs with the aim of providing regulatory clarity on these instruments.
The guidelines state that the Financial Services Commission (FSC) will consider certain NFTs as normal cryptocurrencies if they no longer possess the unique qualities that distinguish them from cryptocurrencies.
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The FSC could classify an NFT as a cryptocurrency in a regulatory context if it is readily exchangeable, is mass-produced, can be divided into smaller units, or is used for payment for goods and services.
On the other hand, NFTs that are not transferable and have little or no economic value will be classified as regular NFTs.