In a bid to secure support from the growing community of crypto investors, Spot Bitcoin ETFs are coming to South Korea. The South Korean ruling party is contemplating a crypto-related general election pledge. The move was discussed during a meeting at the National Assembly on Monday.
The proposed pledge encompasses various measures aimed at boosting the crypto industry. These include considerations for virtual asset exchange offerings (IEO), corporate virtual asset investment, and the introduction of spot Bitcoin exchange-traded funds (ETFs).
Addressing restrictions, the ruling party is exploring the possibility of allowing investment products approved by foreign countries, such as the US, into South Korea. The current ban on trading these products, including spot Bitcoin ETFs, through local security firms may see a reconsideration.
Financial companies and corporations in South Korea are currently restricted from investing in virtual assets. However, the ruling party is actively reviewing this measure, emphasising the need for financial institutions to implement protective measures when dealing with crypto-based investment products.
The People Power Party plans to introduce IEO, aligning with President Yoon Seok-yeol’s national tasks. IEO involves the sale of new virtual assets through an exchange, focusing on implementing safety measures through reported exchanges to financial authorities.
The report highlights the People Power Party’s intent to promote the entire virtual asset industry, aiming to capture the votes of South Korean crypto investors in the upcoming general elections. This trend mirrors global electoral strategies, with some campaigns advocating for better crypto regulations.
Promoting Crypto Industry: Key Measures Considered
In today’s surprising news, Spot Bitcoin ETFs are coming to South Korea. Yoon Jae-ok, floor leader of the People Power Party, revealed during the General Meeting of Lawmakers that the party is mulling over several measures to support the crypto industry. These include allowing virtual asset exchange offerings (IEO), corporate virtual asset investment, and spot Bitcoin exchange-traded funds (ETFs).
Opening Doors to Foreign Investment Products
One notable consideration is allowing investment products approved by foreign countries, such as the United States, into South Korea. This move aims to permit the trading of products like spot Bitcoin ETFs through local security firms, currently restricted by domestic financial authorities.
Corporate Crypto Investment on the Horizon
The ruling party is actively reviewing the prohibition preventing financial companies and corporations from investing in virtual assets. The plan is first to allow investment in virtual assets for asset management purposes, gradually extending it to safety-sensitive corporations like banks and insurance companies.
Introducing IEO and Establishing a Digital Asset Committee
The party plans to introduce IEO, aligning with President Yoon Seok-yeol’s national tasks. IEO involves selling new virtual assets through an exchange with added safety measures reported to financial authorities.
In a bid to capture the crypto vote, the People Power Party aims to promote the entire virtual asset industry. As part of their strategy, they pledge to establish a ‘Digital Asset Committee’ with the authority to propose laws and impose sanctions.
Addressing Regulatory Discrepancies
The party also intends to resolve discrepancies in existing policies related to cryptocurrencies and digital assets. They are considering elevating the virtual asset organization’s role to be similar to the ‘Securities and Futures Committee’ within the Financial Services Commission.
A Crypto-Focused Election Approach
As Spot Bitcoin ETFs are coming to South Korea, the ruling party’s focus on crypto-friendly measures reflects a broader global trend. Seeking support from the crypto community, they pledge to create a committee with significant authority and address regulatory gaps. The outcome of these considerations may shape the country’s stance on crypto and digital assets for years to come.
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