The U.S. Securities and Exchange Commission (SEC) approved the listing of 11 Bitcoin spot ETFs on the 11th. However, as one of the most enthusiastic countries for investing in cryptocurrency, South Korea’s Financial Services Commission (FSC) banned domestic brokerage agencies from listing Bitcoin overseas on the 13th. Spot ETF, then Samsung Securities and other major Korean brokerages have suspended the brokerage services of Bitcoin spot ETF.
Overseas Bitcoin futures ETF can continue to trade
What worries Korean brokerages even more is whether they will also be prohibited from acting as agents for overseas listed Bitcoin futures ETFs. However, after these brokerages sought guidance from the Korean Financial Services Commission, the Korean Financial Services Commission issued a statement today stating that overseas Bitcoin futures will be allowed. The ETF continues to trade, stressing that there are no plans to regulate overseas Bitcoin futures ETFs differently than is currently the case.
Korean media Hankyung reported that since the Bitcoin futures ETF tracks the Bitcoin futures index listed on the Chicago Mercantile Exchange (CME) rather than the spot price of Bitcoin, in principle, it does not violate South Korea’s Capital Market Law on the underlying assets. requirements.
However, the Korean Financial Services Commission emphasized that the issuance and provision of Bitcoin spot ETF brokerage services may violate the existing Korean government position and the Capital Markets Act. The U.S. legal system is different from South Korea, so it is not easy to immediately apply the U.S. approach to Korea.
According to Yonhap News Agency, a senior official of South Korea's Financial Services Commission said on the 14th that although the SEC approved a Bitcoin spot ETF last week, South Korea's financial regulatory authorities will not review the relevant U.S. Bitcoin spot ETF or launch Bitcoin spot in South Korea. ETF.
South Korea tightens cryptocurrency regulations
Currently, South Korea is seeking to formulate two-part cryptocurrency regulatory regulations. The first part is the "Virtual Asset User Protection Act" which was passed last year and will take effect in July this year. This law integrates 19 crypto-asset-related bills and regulates Define digital assets and set penalties for illegal activities such as the use of non-public information, market manipulation and unfair trading.
The second part is to formulate clear regulations for the issuance, listing and delisting of cryptocurrency. The Korean Financial Supervisory Service revealed earlier this month that the formulation process of the guidelines worked closely with multiple virtual asset exchanges. After half a year of hard work, It is currently nearing completion.
South Korea’s love for speculating on coins is well known in the cryptocurrency market. A report released by the Korean National Taxation Bureau in September last year pointed out that last year, the total foreign financial assets declared by Koreans reached 186.4 trillion won, of which cryptocurrency assets accounted for 186.4 trillion won. 130.8 trillion won, accounting for about 70%.
