South Korea starts crypto revolution: Bitcoin ETFs will soon be allowed!

South Korea starts crypto revolution: Bitcoin ETFs will soon be allowed!

South Korea announced significant steps in cryptocurrency regulation today, June 21, 2025. Newly elected President Lee Jae-myung of the Democratic Party is taking a liberal approach to legalizing Bitcoin spot ETFs and other crypto funds. This could catapult the country to the forefront of the crypto revolution in Asia. Until now, access to such financial instruments was severely restricted, as all Bitcoin ETFs and crypto exchange-traded funds were banned in South Korea wallstreet-online.de reported.

The election campaign, which most recently revolved around the presidential election, highlighted cryptocurrencies as a central issue. During his campaign, Lee has proposed promotional measures to allow Bitcoin ETFs to make it easier for both institutional and retail investors to access Bitcoin. Wider acceptance of these digital currencies could also have a positive impact on the financial climate in South Korea and raise the Bitcoin price forecast to $150,000 by the end of the year.

Crypto elections and upcoming regulation

The early elections that took place on June 3, 2025 were marked by crypto-friendly proposals from all three leading candidates. In addition to Lee Jae-myung, Kim Moon-soo from the People Power Party and Lee Jun-seok from the Reform Party took part in the intensive dialogue on the legalization of Bitcoin ETFs. Yoon Suk-yeol, the previous president, was ousted due to his controversial decisions, including a declaration of martial law that caused much uproar in 2024, according to this cointelegraph.com.

Lee and Kim have particularly advocated for easing strict banking regulations that limited the number of approved crypto exchanges to five. The cryptocurrency voter base is growing rapidly, especially among older investors, evidenced by the increasing number of crypto investors, which grew to 9.7 million by the end of 2024.

Future-oriented measures

In addition to legalizing Bitcoin ETFs, the new government plans to launch a stablecoin pegged to the South Korean currency Won. These proposals aim to reduce fees on crypto exchanges for retail investors and make the investment environment more transparent. However, critics such as Lee Jun-seok are calling for more transparency and security measures under this new initiative.

A new coin, the BTC Bull Token ($BTCBULL), was designed to act as a Bitcoin meme coin and has already built a community of over 12,000 investors. The ICO of this token is nearing its end, with only 9 days left until the presale.