In spring 2024, South Korean presidential candidates expressed support for legalizing Bitcoin exchange-traded funds, indicating a shift in the stance towards cryptocurrencies.
Candidates' Support
All three major South Korean presidential candidates support the legalization of Bitcoin ETFs and institutional investments. Ki Young Ju, founder of the CryptoQuant platform, noted in a post that '100% of the volume comes from retail investments.'
Historical Barriers
Despite the stated intentions, experts warn against excessive optimism. Anndy Lian, an author and blockchain consultant, noted that previous promises to lift the ban on crypto ETFs were not fulfilled by the government. In 2022, the government also promised changes that remained unfulfilled.
Looking Ahead
Candidates openly support crypto investments, which may lead to regulatory reforms. However, practical outcomes will depend on various factors. Lian emphasizes that 'global trends' could influence the Bitcoin ETF legislation in the country.
The support for legalizing Bitcoin ETFs from leading politicians in South Korea may signal significant changes in the approach to cryptocurrencies, but skepticism remains due to past failures in implementation.
