Since 2018, institutional investors in South Korea have been restricted from opening cryptocurrency trading accounts.
South Korea’s Financial Services Commission (FSC) is reviewing its long-standing ban on spot cryptocurrency ETFs.
This review could see the regulator list the existing ban on crypto spot trading, introducing a significant policy shift. The FSC is also considering allowing institutional accounts on cryptocurrency exchanges.
These updates shift from South Korea’s previously strict stance on digital assets in traditional financial markets. The decision follows global trends, especially after the U.S. approved spot Bitcoin ETFs in January. New Cryptocurrency Committee Takes Action
According to reports from news outlet News1, a newly formed cryptocurrency committee within the FSC is responsible for evaluating the ban.
Notably, this committee was established to advise on digital asset policies. It will assess the feasibility of lifting the restrictions, considering both opportunities and risks.
Though the FSC previously maintained its position against crypto ETFs, it now seems more open to reconsidering. This shift highlights growing pressure on regulators to adapt to changing market conditions.
Since 2018, institutional investors in South Korea have been restricted from opening cryptocurrency trading accounts.
