In the forthcoming South Korean parliamentary elections, the major political parties are bribing crypto voters with promises of favorable policies. The Democratic party running for opposition is interested in lifting the restrictions on Bitcoin ETFs.
However, the People Power Party, which is supporting the president, Mr Yoon Suk Yeol, promises the tax on digital asset profits will be delayed until 2025.
In the first half of 2023, 6 million South Koreans traded cryptocurrency, which was around 10% of the population. According to data from the Korea Securities Depository, $200 million was invested in MicroStrategy.
More severe regulations will override what has been delivered to a certain degree. Regulatory authorities are expected to release new guidelines for listing tokens on centralized exchanges. They’ll also likely exclude crypto assets linked to scams until they figure out the root causes.
Starting July 19, 2024, the Virtual Asset Users Protection Act will enforce strict penalties for crimes like market manipulation and fraud in the virtual asset market. Offenders could face imprisonment and fines up to five times the profits gained from their illegal activities.
Also read: South Korea Sets New Path for Crypto Exchange Listings
