Ki Young Ju warns that South Korea’s leadership must change for progress in Bitcoin ETF approvals.
CryptoQuant CEO’s Concerns
CryptoQuant CEO Ki Young Ju has voiced his skepticism over South Korea’s willingness to approve spot Bitcoin exchange-traded funds (ETFs). In a post on Nov. 26, Ju compared the regulatory climate in South Korea to the approach of US SEC Chair Gary Gensler, suggesting that a change in leadership is necessary for progress.
At this pace, it will take forever. I’m very skeptical it will move forward until the regime changes and the head of the Korean SEC is replaced. We’re in a Gary Gensler situation.
South Korea’s Restrictive Policies
The South Korean Financial Services Commission (FSC) has recently taken a hardline approach, rejecting ETFs tied to digital assets. This has sparked concerns about the future regulatory framework in the country, especially without an overhaul of the current leadership.
Ju’s Comparison to Gary Gensler
Ju drew a parallel between the situation in South Korea and the challenges faced under US SEC Chair Gary Gensler. Gensler’s tough stance on cryptocurrency regulations, including legal actions against major firms like Binance and Coinbase, has led to a delay in Bitcoin ETF approvals. A court ruling forced the SEC to revisit its rejections before finally approving spot Bitcoin ETFs in January 2024. Gensler’s term ends in 2025, but the analogy highlights Ju’s belief that South Korea’s approach mirrors the obstacles faced in the US.
If Michael Saylor were born in Korea, he likely would have ended up in jail. South Korea is not a Bitcoin-friendly country. It’s hard to encourage companies or the govt to adopt a #Bitcoin treasury strategy when we don’t have politicians who truly understand Bitcoin. No one…
South Korea’s Anti-Bitcoin Sentiment
Ju also criticized South Korea’s broader Bitcoin stance, claiming that figures like MicroStrategy’s Michael Saylor would face severe legal hurdles if they operated in the country. According to Ju, the South Korean government’s refusal to adopt Bitcoin-friendly policies stems from a lack of understanding about the cryptocurrency.
Fragmented Regulatory Landscape
The CryptoQuant CEO highlighted the fragmented approach toward crypto regulation in South Korea. He emphasized that the president’s lack of Bitcoin knowledge, the hostile stance of the FSC, and the Korean IRS’s tax-focused approach create an environment hostile to crypto innovation.
South Korean Citizens Still Active in Crypto
Despite government opposition, South Korean citizens continue to actively participate in the cryptocurrency market. Local exchanges, such as Upbit, remain among the world’s top platforms by trading volume, showing that there is still a strong demand for digital assets in the country.
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