South Korean presidential candidates support legalization of Bitcoin ETFs

South Korean presidential candidates support legalization of Bitcoin ETFs

South Korea may be poised to follow Hong Kong’s lead in legalizing spot Bitcoin exchange-traded funds (ETFs), as top presidential candidates signal support for institutional crypto adoption.

However, analysts remain cautious about the timeline for actual policy implementation, reports Cointelegraph.

On May 14, CryptoQuant CEO Ki Young Ju wrote that “all three major South Korean presidential candidates support Bitcoin ETFs and institutional investment,” underscoring a rare consensus on crypto reform. At present, South Korea bans institutional access to crypto ETFs, meaning retail investors account for 100% of local market volume.

Democratic Party renews crypto-friendly platform

Democratic Party leader Lee Jae-myung recently pledged to legalize spot crypto ETFs, reduce transaction fees, and foster a safer investment environment — particularly for younger generations. The promises echo similar initiatives from the party’s 2024 campaign, which stalled amid legislative gridlock.

Lee’s comments reflect growing interest in aligning South Korea with global crypto finance trends, including developments in the U.S., where spot Bitcoin ETFs have drawn tens of billions in institutional inflows since their approval earlier this year.

Experts warn of political inertia and structural hurdles

Despite political momentum, blockchain adviser Anndy Lian warned against assuming quick progress. “The pledges are promising, but history tempers optimism,” Lian told Cointelegraph, referencing past failures by the ruling People Power Party to follow through on ETF reform prior to President Yoon’s impeachment.

He noted that South Korea’s Financial Services Commission has shown signs of “regulatory openness,” but cautioned that structural factors — including lingering concerns about volatility, oversight, and international compliance — could delay execution.

Hong Kong’s own spot Bitcoin and Ether ETF launches on April 30, while symbolically important, saw lackluster trading volume relative to their U.S. counterparts — a reminder that legal approval doesn’t always translate to immediate market traction.

Whether South Korea will break the cycle of political promises without follow-through remains to be seen, but the growing chorus of support suggests the next administration may finally act on long-delayed crypto legislation.

Recently we wrote that ​the U.S. Securities and Exchange Commission (SEC) has postponed its decision on Grayscale’s proposed spot Solana (SOL) ETF, pushing the review deadline to October 2025.

 

Source: https://tradersunion.com/news/cryptocurrency-news/show/262159-south-korean-presidential-candidates/

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

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Top South Korean presidential hopefuls support legalizing Bitcoin ETFs

Top South Korean presidential hopefuls support legalizing Bitcoin ETFs

South Korea could soon follow Hong Kong in legalizing spot Bitcoin exchange-traded funds (ETFs), as the country’s top presidential candidates have expressed pro-crypto positions.

Still, some industry observers remain cautious about the likelihood of near-term regulatory change.

“All three major South Korean presidential candidates support #Bitcoin ETFs and institutional investment,” Ki Young Ju, the founder and CEO of onchain data platform CryptoQuant, wrote in a May 14 X post.

Currently, Bitcoin ETFs and institutional crypto investments are banned in South Korea, meaning that “100% [of the] volume comes from retail,” Ju added.

On May 6, South Korea’s Democratic Party leader Lee Jae-myung promised to legalize spot crypto ETFs, lower transaction fees and “create a safe investment environment so that young people can [build] assets and plan for the future, according to a report from The Korean Economic Daily (KED).

The Democratic Party made similar promises in its 2024 election campaign, including the legalization of spot crypto ETFs, but progress has been delayed, KED reported.

Candidates back ETFs, but history casts doubt

While the crypto-friendly perspectives of the leading candidates suggest a promising future for digital asset legislation in South Korea, regulation experts remain skeptical.

“The candidates’ pro-crypto pledges to push to legalize spot Bitcoin ETFs and reduce fees signal a potential shift. But history tempers optimism,” Anndy Lian, author and intergovernmental blockchain adviser, told Cointelegraph, adding:

“They will take on similar stances as Hong Kong. Whether the ETFs can perform or not depends on various other factors.”

“A pro-crypto president could drive reform, aligning South Korea with global trends like the US, where Bitcoin ETFs have attracted over billions in net inflows,” Lian said, adding that the Financial Services Commission’s tone also suggested “regulatory openness” for cryptocurrencies.

However, the People Power Party, elected in 2022, also promised to lift the crypto ETF ban and revise the controversial one-exchange-one-bank rule, “but failed to act before President Yoon’s impeachment,” Lian said.

Over in Hong Kong, the first batch of Bitcoin and Ether-based ETFs launched for trading on April 30, 2024, but saw disappointing trading activity compared to their US counterparts, Cointelegraph reported.

 

Source: https://cointelegraph.com/news/south-korean-presidential-candidates-support-bitcoin-etfs

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

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Market wrap: Global optimism boosts stocks, Bitcoin holds support , Ethereum bulllish

Market wrap: Global optimism boosts stocks, Bitcoin holds support , Ethereum bulllish

The improved global risk sentiment stems largely from renewed optimism surrounding prospective trade deals and a surprisingly robust US jobs report. The April nonfarm payrolls data, which revealed the addition of 177,000 new jobs, well above the consensus estimate of 138,000, has bolstered confidence in the resilience of the US economy.

Meanwhile, the unemployment rate has held steady at 4.2 per cent, indicating a labour market that, while not showing signs of significant slowdown, remains balanced. However, this rosy picture comes with a caveat: the lingering effects of recent tariffs have yet to fully materialise in the economic data. As these measures filter through supply chains and consumer prices, their impact could temper this optimism in the months ahead, introducing an element of uncertainty that investors would be wise to monitor.

In the equity markets, the S&P 500 has emerged as a standout performer, climbing 1.5 per cent and extending its winning streak to nine consecutive days—the longest such run in two decades. This remarkable rally, which has seen gains across all major sectors, reflects a broad-based confidence among investors, likely fuelled by the combination of strong economic fundamentals and expectations of continued policy stability. Such an extended period of uninterrupted gains is rare and speaks to the current strength of market sentiment.

Yet, history suggests that prolonged upward trajectories can sometimes precede corrections, as valuations stretch and profit-taking becomes tempting. For now, though, the focus remains on the positive, with corporate earnings season providing further opportunities to gauge the health of US businesses. With 2,043 firms, including 94 from the S&P 500, set to report between May 5 and May 9, these results will offer critical insights into whether this rally has legs or if cracks are beginning to form beneath the surface.

The bond market, meanwhile, has seen a notable shift, with US Treasury yields rising across the curve. The 10-year Treasury yield increased by 9.1 basis points to close at 4.308 per cent, while the two year yield surged by 12.5 basis points to 3.824 per cent. This upward movement in yields signals a retreat from recession fears that had previously weighed on investor sentiment. Market participants now appear to anticipate that the Federal Reserve will keep interest rates steady for an extended period, a stance that aligns with the robust jobs data and easing concerns about an economic downturn.

Higher yields can serve as a double-edged sword: they attract income-seeking investors and bolster confidence in risk assets, but they also raise borrowing costs, which could eventually constrain growth in sectors reliant on cheap credit, such as real estate and consumer goods. For now, the market seems to be interpreting this development as a sign of strength rather than a harbinger of trouble.

Currency and commodity markets have also responded to these dynamics. The US Dollar index slipped by 0.22 per cent to 100.030, reflecting a slight weakening against a basket of major currencies. This decline aligns with the improved global risk appetite, as investors shift away from the dollar’s traditional safe-haven status toward higher-yielding opportunities elsewhere.

Gold, another classic safe-haven asset, edged up by 0.04per cent, a modest gain that might seem puzzling amid a weakening dollar and rising risk sentiment. This uptick could indicate a hedging strategy among some investors, perhaps as a precaution against potential inflationary pressures or geopolitical surprises down the road. In contrast, Brent crude oil has continued to slide, dropping 1.4 per cent and marking its second consecutive weekly loss.

Investors are now keenly awaiting the outcome of the OPEC+ meeting, which could either stabilise prices through production adjustments or exacerbate the decline if supply outpaces demand expectations. Oil’s trajectory remains a wildcard, heavily influenced by both economic and geopolitical factors.

Across the Pacific, Asian markets have mirrored this optimism, with equities and foreign exchange rates rallying late last week on hopes of an improving relationship between the United States and China. Such a thaw in tensions could have far-reaching implications, easing trade frictions that have disrupted global supply chains and weighed on economic growth in recent years.

For export-driven economies in Asia, this development is particularly encouraging, as it promises a more favourable environment for trade and investment. Closer to home, Singapore’s political landscape has provided another dose of stability, with the ruling People’s Action Party (PAP) securing a stronger mandate in the latest election. The party’s popular vote rose to 65.5 per cent from 61.2 per cent in 2020, signalling continuity in governance and policy—a factor that typically reassures markets and supports economic confidence in the region.

Looking ahead, the week promises to be eventful, with key central bank decisions from the Federal Reserve and the Bank of England on the horizon. These announcements will be pivotal in shaping expectations around monetary policy, particularly as inflation, growth, and geopolitical risks remain in focus.

The Fed’s stance, in particular, will be scrutinised for any hints of deviation from its current pause, given the mixed signals from rising yields and strong economic data. At the same time, the ongoing US earnings season will provide a granular view of corporate performance, offering clues about whether the S&P 500’s rally is grounded in sustainable profits or simply buoyant sentiment.

Turning to the cryptocurrency space, Bitcoin and Ethereum present intriguing narratives of their own. Bitcoin has returned to its yearly open price and appears to be in an accumulation phase, characterised by sideways price action rather than aggressive moves in either direction. This consolidation often serves as a precursor to a breakout, and the key level to watch is 93,548. If Bitcoin can hold above this threshold, the psychologically significant 100,000 mark comes into view, a milestone that could ignite further enthusiasm among traders and investors.

However, the downside risks are equally noteworthy. Should Bitcoin falter, support levels at 91,619 (a swing low from April 24), 90,561 (an old break-away gap on the four-hour chart), and 88,500 (a former resistance zone) will come into play. A break below 88,000 would mark a significant shift, potentially signaling a broader reversal in sentiment. For now, the market seems poised on the edge of possibility, with traders eyeing both the upside potential and the pitfalls below.

Ethereum, meanwhile, is exhibiting its own consolidation pattern, trading at US$3,150 on Binance as of May 5, up a modest 1.2 per cent over the past 24 hours. Since April 28, it has oscillated between a support level of US$3,000 and resistance at US$3,250, a tight range that hints at pent-up volatility. Trading volume for ETH/USDT on Binance has jumped by 15 per cent to 320,000 ETH in the last 24 hours, reflecting growing interest among market participants.

On-chain data from Glassnode adds a layer of optimism, showing an increase in wallet addresses holding more than 10 ETH—an indication of accumulation by larger investors, often a bullish signal. Network activity further supports this narrative, with daily transactions rising seven per cent to 1.2 million on May 4, underscoring Ethereum’s sustained user engagement. For traders, the consolidation suggests a potential upward move if resistance at US$3,250 gives way, though a failure to break out could see prices retreat toward the lower end of the range.

Stepping back, the broader market outlook reflects a delicate balance between opportunity and caution. The positive momentum—driven by strong US economic data, hopes of trade resolutions, and a stable political backdrop in places like Singapore—provides a solid foundation for risk assets. Yet, the spectre of tariffs, geopolitical uncertainties, and the possibility of policy shifts from central banks introduces risks that cannot be ignored.

In the cryptocurrency realm, Bitcoin and Ethereum are at pivotal junctures, with technical patterns and on-chain metrics pointing to potential upside, tempered by the need to hold critical levels. For investors, this environment calls for a nuanced strategy: embracing the current wave of optimism while remaining vigilant for signs of strain.

Diversification, close attention to macroeconomic cues, and adaptability will be key to thriving in this dynamic landscape, where the interplay of global forces continues to shape the path ahead.

 

Source: https://e27.co/market-wrap-global-optimism-boosts-stocks-bitcoin-holds-support-ethereum-bulllish-20250505/

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

j j j