South Korea’s main financial regulator has shared its plan to allow spot crypto ETFs in the country, according to local news.
The Financial Services Commission (FSC) submitted this plan to the Presidential Committee on Policy Planning. The committee said it will start working on how to put the plan into action in the second half of 2025.
This move supports new President Lee Jae Myung’s campaign promise to lift the country’s ban on crypto ETFs. Until now, the FSC had blocked these products, saying they were too risky and that cryptocurrencies weren’t a good foundation for investment funds.
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Approving crypto ETFs and Korean won (KRW) stablecoins is part of left-wing President Lee’s bigger plan to help young people in South Korea build a strong financial future.
After the news came out on Thursday, the Financial Services Commission (FSC) said on Friday that the details reported are not official or final yet.
At the same time, the FSC is already working to open up the traditional financial market to crypto. It’s currently moving forward with a step-by-step process to allow big investment firms to trade cryptocurrencies.
These developments signal a major shift in South Korea’s approach to digital assets, potentially reshaping the country’s financial landscape. While the roadmap is still in its early stages, the push toward greater crypto integration marks a pivotal moment. Whether the FSC fully embraces this vision or proceeds with caution remains to be seen, but the coming months will be key in determining how far and fast South Korea moves toward a crypto-friendly future.
