South Korea Urges Regulator to Reconsider Stance on Spot Bitcoin ETFs

The South Korean Office of the President is urging the financial regulator to reconsider its stance on approving a local Bitcoin exchange-traded fund (ETF), according to an official from the presidential office.

Sung Tae-yoon, the chief of staff for policy, stated in a briefing on Thursday that the government is looking into incorporating foreign affairs into local regulations, suggesting that the country may be open to launching spot crypto ETFs.

The presidential office’s statement comes after the Financial Services Commission warned local companies last week about the potential violation of capital market regulations if they broker foreign-listed Bitcoin spot ETFs.

In response, several major securities companies in South Korea suspended trading of existing foreign spot Bitcoin ETFs.

While the government has differing opinions on the matter, other countries such as Singapore and Thailand have stated that they are not considering spot Bitcoin ETFs.