Use of artificial intelligence in South Korea\'s finance industry is spreading to credit scoring, fraud detection, financial advice and wealth management, but network segregation rules and limited access to AI infrastructure are constraining innovation, speakers said at a forum. Experts urged a shift in regulation from prior permission and approval toward continuous verification and accountability management. Fintech representatives also called for broader participation in rule changes and improved access to up-to-date AI models and infrastructure.

South Korea\'s financial authorities will overhaul the financial regulatory sandbox to make it more fintech-friendly, focusing on lowering entry barriers for startups and strengthening exit strategies into regulated finance after the sandbox ends. The Financial Services Commission said it will revamp the innovative financial services framework across its full cycle. Measures include expanding exclusive operating rights, increasing cost and insurance support for smaller firms, adjusting screening standards for fintech and accelerating regulatory review for successful services.