A string of hacks and personal data leaks has put the financial sector on alert.

After information on about 25,000 Shinhan Bank customers was leaked, KB Kookmin Bank and Hana Bank also confirmed that external attacks led to leaks involving 119 and 89 customers, respectively.

At Shinhan Bank, leaked data included customer names, phone numbers, annual income and calculated loan limits, as well as some resident registration numbers and connected identification (CI). At KB Kookmin Bank and Hana Bank, personal information was leaked through employee business support and sales support systems. Woori Bank and NH Nonghyup Bank were also attacked, but no information leaks have been confirmed so far.

The attacks quickly spread beyond banks to secondary financial institutions, including Yegaram and Welcome Savings Bank and Hyundai Capital. Financial authorities said IP addresses linked to the same attacker were found in security breaches at 7 companies: Shinhan, KB Kookmin, Hana, BNK Busan Bank, Yegaram and Welcome Savings Bank, and Hyundai Capital.

External touchpoints, rather than core financial transaction networks, were used as attack routes, including inquiry services for loan agents and employee business support systems.

Authorities are investigating while leaving open the possibility that the attacker switched IP addresses and carried out automated attacks using AI tools. They urgently convened the entire financial industry and ordered a sweeping review of externally exposed systems and access control frameworks. They warned they would strictly hold parties accountable under relevant laws and regulations if similar incidents recur.

• Financial-sector hacking spreads; "signs of the same attacker at 7 firms" • Beyond banks to savings banks and capital firms; financial sector on 'hacking alert' • Hana Bank also leaks information on 89 customers; financial transaction data excluded • KB Kookmin Bank: "Customer data leak affects 119; full compensation if losses occur" • KB Kookmin Bank: About 100 cases of customer data leaked in hacking • From resident registration numbers to annual income and loan limits; attention on fallout from Shinhan Bank customer data leak • Shinhan Bank: Information related to loan solicitation leaked; FSS launches urgent on-site probe • Paying with an expired credit card? 'Zombie card' vulnerability found

The government and financial authorities held 'Korea Premium Week' to boost the appeal of the domestic capital market and attract global funds, accelerating efforts to expand long-term investment and revamp the KOSDAQ market.

Global finance professionals attending the event assessed growth potential in South Korea's stock market positively, while calling for further improvements in accessibility for overseas investors and market trust.

The government plans to pursue structural improvements in the domestic capital market, including broadening the base for long-term investment and strengthening the competitiveness of the KOSDAQ market.

Separately, global financial firms are also stepping up efforts to target the South Korean market, focusing on local retail demand for ETFs and an expansion in alternative investments by institutional investors.

With interest in South Korean stocks rising, boosting market access and institutional trust has emerged as a key task for expanding foreign fund inflows.

• 'Korea Premium Week' opens; government steps up long-term investment and KOSDAQ overhaul • Global finance professionals: "South Korean stocks more attractive; trust and accessibility must improve" • Global financial firms head to South Korea in succession, targeting retail ETF and institutional alternative-investment demand

At 'Korea Blockchain Week 2026 (KBW 2026)', digital asset regulation and the potential expansion of tokenised finance emerged as key topics.

A former commissioner of the U.S. Commodity Futures Trading Commission (CFTC) stressed that regulation is needed to protect users, but it should not block innovation by trying to eliminate risks at the source. The market presented securing a balance between regulation and innovation as a key task for growth of the digital asset industry.

Moves in traditional finance to use blockchain and tokenisation as new financial infrastructure continued. Mirae Asset assessed tokenisation as a new distribution channel linking existing financial products to the global on-chain market.

Whether digital assets can expand beyond speculative assets into infrastructure connected to existing financial markets emerged as a key focus for the market going forward.

• Former CFTC commissioner: "User protection and risk blocking are different; must not stand in the way of innovation" • Mirae Asset: "Tokenisation is a new distribution channel; it should connect to the global on-chain market"

South Korea's digital asset market, contrary to growth expectations, is showing a clear contraction in the first half. The market capitalisation of domestic digital assets fell 33 percent in the first half, and trading volume dropped 44 percent, sapping momentum across the market.

Even amid the downturn, expectations continued for institutional use of blockchain and tokenised finance. The industry assessed that blockchain has advanced to a level that institutions can judge as suitable for use as financial infrastructure, and that tokenisation could become a new growth engine.

Institutional preparations are also accelerating. The government is preparing to implement digital asset taxation scheduled to take effect in January next year under the current system, and it is also setting taxation standards for transaction types such as staking.

• Domestic digital asset market cap down 33 percent in first half; trading volume also down 44 percent • "Blockchain is at a level that can give institutions confidence as financial infrastructure; tokenisation also a growth foothold" • Lee Hyeong-il (이형일): "Digital asset taxation to take effect in January next year"; preparing to announce staking standards as well

How financial consumers use banks and the financial system is changing rapidly. Bank branches will delay opening hours from 9 a.m. to 9:30 a.m. starting in April next year, cutting in-person business hours by 30 minutes. In non-face-to-face finance, an online deposit comparison and recommendation service will be institutionalised, creating a basis for platform operators, after registration, to compare and broker deposit products from multiple financial companies.

Changes are also clear in payments. In the first half of this year, the growth rate of payments that do not present a physical card exceeded 10 percent, and the share of simple payments also rose, shifting the centre of payments to mobile.

As access shifts to online and mobile, institutional supplements for consumer protection also continued. The government said it will consider introducing undercover investigations to respond to illegal private lending spreading online and push ahead with a reward system for reporting illegal advertisements.

• Bank branches to open at 9:30 a.m. from April next year; business hours cut by 30 minutes • FSC institutionalises online deposit comparison and recommendation; allows registration for platform intermediaries • People do not take out physical cards; payments shift to mobile • Government to review introducing undercover investigations into illegal private lending; rewards for reporting illegal online ads

Hana Financial Group said it has opened the 'Cheongna era' in earnest. It plans to accelerate group-wide digital and AI transformation centred on its headquarters. The new building will bring together major affiliates and staff to strengthen collaboration and serve as a digital finance hub linked to an integrated data centre.

Alongside the group's infrastructure shift, Hana Bank said at DigitalToday’s 'Digital Insight 2026' conference that it is advancing its in-house finance-focused AI search service. It lowered the search failure rate from about 20 percent to within 5 percent and is also running tests to apply it to Hana OneQ.

In this way, Hana Financial is positioning Cheongna as a physical hub while advancing AI infrastructure and financial services at the same time to secure future competitiveness in finance.

• Hana Financial's 'Cheongna era' opens; "speeding up AI transformation and future financial innovation" • [Report] 'Finance + digital + AI' all gathered; a look inside Hana Financial's Cheongna headquarters • [Digital Insight 2026] Hana Bank: "Advancing our finance AI search; sharply raising search success rate"

Banks are rapidly introducing artificial intelligence across operations, accelerating automation and productivity gains. Analysis shows that adopting the latest AI models alone does not secure competitiveness, and that it is important to design data-use capabilities, internal work processes and customer experience together.

Banks are expanding investment in AI-based counselling and task automation, pursuing cost cuts and service upgrades at the same time. In the AI era, there are also concerns that customer loyalty could weaken as differentiation among financial products and services fades.

A survey also showed that 1 in 4 bank customers are considering leaving their main bank. Warnings also emerged that if financial AI agents spread rapidly, automated decision-making could become concentrated at the same time, increasing market volatility or triggering a bank run. Calls are growing to build sophisticated control and risk management frameworks alongside expanded AI use.

• Is it over once you adopt the latest AI? Three core factors that decide banks' competitiveness • Banks press ahead even as AI fears grow; investment in task automation heats up • 1 in 4 bank customers consider switching; in the AI era, loyal customers could waver • Warning: "Unchecked spread of financial AI agents could trigger a bank run"

South Korea's stock market is testing whether the KOSPI can settle above 7,000, while institutional changes to improve the capital market's fundamentals are also gathering speed.

The exchange and Korea Securities Finance plan to create a 1 trillion won secondary fund over the next 3 years to invigorate the exit market for venture and innovative company investments. Sales have also begun for a second public participation growth fund worth 600 billion won, extending moves to expand the supply of venture capital.

The investment base has also widened, with the number of ISA subscribers topping 10 million 10 years and 5 months after launch. On the trading side, the Korea Exchange is pushing to build a 12-hour-a-day trading system by the end of next year to expand access to the domestic stock market.

Financial authorities are pressing securities firms to strengthen shareholder returns and investor protection and have launched compulsory investigations into an 'information cartel' that uses undisclosed M&A information, stepping up efforts to boost market trust.

• [Stock market outlook] Will Samsung Electronics post 'surprise earnings'? KOSPI tests settling above 7,000 • Exchange, Korea Securities Finance to create a 1 trillion won 'secondary fund' over 3 years • Second public participation growth fund sales begin; 600 billion won to be raised • Lee Chan-jin (이찬진): "Securities firms' profits rose but investors suffered losses"; calls for shareholder returns and investor protection • South Korea accelerates longer trading hours; exchange to build '12-hour trading' by end-2027 • Financial authorities launch compulsory probe into 'information cartel' using undisclosed M&A information • ISA subscribers top 10 million, 10 years and 5 months after launch, becoming a 'national tax-saving account'

Other major moves in finance and fintech were also summarised.

KB Financial Group will contribute 3 billion won to a mutual growth cooperation fund and push to create a sub-fund worth 5 billion won. KB Kookmin Bank signed a financial agreement worth 4.3742 trillion won related to the GTX-C project. Shinhan Financial Group expanded cooperation on tokenised finance with Digital Asset and the Canton Foundation. Shinhan Bank is holding a customer event to mark the balance of its testamentary trust substitute exceeding 1.5 trillion won.

• KB Financial contributes 3 billion won to a mutual growth cooperation fund; pushes to create a 5 billion won sub-fund • KB Kookmin Bank signs 4.3742 trillion won GTX-C financial agreement • Shinhan Financial expands tokenised finance cooperation with Digital Asset and the Canton Foundation • Shinhan Bank holds customer event as testamentary trust substitute balance tops 1.5 trillion won

Hana Financial joined about 100 young small business owners to revitalise local commercial districts. Woori Bank launched a non-face-to-face real estate-secured loan for sole proprietors with a limit of up to 1 billion won. iM Financial began procedures to appoint its next chairman and plans to recommend a final candidate in December.

• Hana Financial to work with about 100 young small business owners to revitalise local commercial districts • Woori Bank launches non-face-to-face real estate-secured loan for sole proprietors; up to 1 billion won • iM Financial begins process to appoint next chairman; to recommend final candidate in December

KakaoBank said its outstanding loans to sole proprietors have exceeded 4 trillion won and it signalled it will launch a refinancing loan in November. K Bank introduced a fixed deposit offering up to 3.71 percent a year that lets customers choose when to receive interest.

• KakaoBank sole proprietor loans top 4 trillion won; to launch refinancing loan in November • K Bank launches fixed deposit that lets customers choose when to receive interest; up to 3.71 percent a year

Toss is seeing competition shift from joining its mini-app ecosystem to vying for service visibility as the ecosystem expands. With Jeju Bank, it expanded finance for sole proprietors and made 'Boss Credit Loan' exclusively available on the platform. BankSalad filed for a preliminary review for a KOSDAQ listing and began IPO procedures. Naver Pay linked corporate database data from the Korea Credit Guarantee Fund to support startups' fundraising efforts.

• Toss mini-app starts to resemble an app store; from 'more entrants' to 'visibility competition' • Toss expands sole proprietor finance with Jeju Bank; 'Boss Credit Loan' made exclusive • BankSalad files for preliminary review for KOSDAQ listing; starts IPO process • Naver Pay links corporate DB from Korea Credit Guarantee Fund to support startups' fundraising

Finda appointed Ahn Joong-hyun (안중현), a former vice president at Nexth Earth, as its first chief product officer. Webcash Vietnam supplied 'WeCMS' to Hansung Bolt Vina, cutting the time needed to prepare a daily funds report to around 10 minutes. SK Planet expanded the scope of OK Cashbag's 'Today's Investment' to include stock investing.

• Finda appoints former Nexth Earth vice president Ahn Joong-hyun as first CPO • Webcash Vietnam supplies 'WeCMS' to Hansung Bolt Vina; daily funds report cut to around 10 minutes • SK Planet expands OK Cashbag Today's Investment to include stock investing