South Korean regulators are set to shut down dozens of cryptocurrency exchanges in the coming days, though the impact is likely to be felt only on the margins of the industry given the low volumes involved.

About 35 trading platforms -- out of a total of 63 -- have not received the certification required to register with the Financial Intelligence Unit, according to the government. Since the certification process takes three to six months and the deadline is Sept. 24, it will be “virtually impossible” for exchanges that haven’t already won approval to get it in time, the regulator said.

However, the regulatory move is expected to affect only a small portion of the country’s crypto activity. Korea’s four biggest exchanges, including Upbit and Bithumb, have all registered as legal trading platforms -- and they account for about 97% of trading volume in the country, according to ruling party lawmaker Noh Woong-rae last week.

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