The South Korean Financial Services Commission (FSC) is preparing a plan for the implementation of exchange-traded funds (ETFs) for virtual assets, expected in the latter half of 2025. This reflects the growing interest from institutional investors.
Plan for Crypto Asset ETF Launch
The South Korean FSC is developing a framework for ETFs to respond to the increasing interest from institutional investors in regulated products. This is expected to enhance engagement and liquidity in the country's crypto market.
Focus on Bitcoin and Ethereum
The primary focus will likely be on Bitcoin and Ethereum, in line with global trends where dominant cryptocurrencies are becoming more popular among investors. This anticipates significant market shifts.
Impact on Liquidity and Compliance
According to Coincu Research Team, the introduction of ETFs in South Korea may improve liquidity and compliance standards. These changes could reflect the outcomes seen after recent ETF launches in other jurisdictions worldwide, supporting the anticipated institutional shifts.
The launch of crypto ETFs in South Korea could mark a significant milestone for the market, fostering increased interest from institutional investors and influencing liquidity and regulatory compliance in the sector. This event is being awaited with interest both nationally and internationally.
