South Korea Forms Committee to Explore Crypto ETF Approval
South Korea's FSC establishes a committee to consider Bitcoin and cryptocurrency ETFs, responding to global trends and local demands for regulatory reform.
Highlights:
•
New committee aims to evaluate Bitcoin and crypto ETFs.
•
Pressure mounts for regulatory updates in the crypto space.
South Korea's Financial Services Commission (FSC) has established a new committee to evaluate the approval of Bitcoin and cryptocurrency exchange-traded funds (ETFs). This move comes amid increasing pressure from the public and political entities to reconsider the current restrictions on crypto ETFs, particularly following the recent approval of spot Bitcoin ETFs by the U.S. Securities and Exchange Commission.
The Democratic Party of Korea, which holds a significant majority in the National Assembly, has been vocal about its commitment to advancing cryptocurrency regulations. An official from the party indicated that they would push for a reevaluation of the legal status of spot Bitcoin ETFs, aligning with their campaign promises. The party's stance reflects a broader desire to modernize South Korea's financial landscape and enhance its competitiveness in the global crypto market.
Previously, the FSC had stated that domestic firms listing foreign spot Bitcoin ETFs could violate the Capital Markets Act. However, with international trends shifting towards acceptance of such financial products, South Korean regulators are now under pressure to adapt.
The newly formed committee will explore potential pathways for integrating crypto ETFs into the domestic market, potentially paving the way for a more favorable regulatory environment. This initiative aligns with recent developments in Hong Kong, where trading of spot Bitcoin and Ether ETFs has commenced, sparking hopes for similar advancements in South Korea's financial sector.
Related news
Subscribe To
Web3Buzz
Connecting you to the world of Web3
Related News
People also like to read
Latest News