South Korea's Pro-Crypto President Lee Jae-myung Elected, Bitcoin Prices Surge 14%

South Korea has elected a new president, Lee Jae-myung, who is known for his pro-crypto stance. Lee, representing the center-left Democratic Party, secured more than 49% of the national vote, defeating his conservative rival Kim Moon-soo. The election was held on June 3, just six months after the controversial imposition of martial law by Yoon Suk-yeol, which led to a period of political instability. The voter turnout reached almost 80% of the country’s eligible voters, the highest level of participation in a presidential election since 1997.

Lee's campaign was marked by his strong support for cryptocurrency. He plans to modernize South Korea’s financial infrastructure by introducing a won-backed stablecoin to help curb capital outflows and stimulate innovation. Lee also committed to allowing the country’s massive national pension fund to invest in Bitcoin and other cryptocurrencies, and supports the launch of Bitcoin exchange-traded funds (ETFs) as a means of legitimizing and institutionalizing digital assets in the financial system. His rival, Kim, also supported spot crypto ETFs and called for lighter regulations on crypto adoption.

After Lee’s election, Bitcoin prices surged on South Korea’s leading crypto exchanges, Bithumb and Upbit, reaching 149 million Korean won, or about $108,480. This surge suggests that there is renewed local appetite for crypto exposure due to anticipated regulatory and policy reforms. While Lee’s broader agenda includes tackling rising living costs, advancing AI and defense sectors, and implementing a four-and-a-half-day workweek, it remains to be seen how prominently his crypto policies will feature in his administration.

Meanwhile, California is moving closer to formally integrating cryptocurrency into its state operations after a unanimous vote in the State Assembly on June 2 in favor of Assembly Bill 1180. The bill mandates the Department of Financial Protection and Innovation (DFPI) to establish a regulatory framework that will allow state fees and other transactions governed by the Digital Financial Assets Law to be paid in cryptocurrency. If approved and signed into law by Governor Gavin Newsom, it could take effect on July 1, 2026. The DFPI is California’s primary regulator for financial services, and oversees consumer protection and responsible innovation. Under current rules, crypto businesses operating in the state are already required to obtain licenses from the DFPI. Should AB 1180 become law, it will initiate a pilot program running until Jan. 1, 2031, during which time the DFPI must compile a detailed report by 2028. This report will outline all crypto transactions processed by the state, along with any regulatory or technical hurdles that were encountered.

If passed, California will join states like Florida, Colorado, and Louisiana in allowing certain government obligations to be paid in crypto. The bill defines crypto transactions broadly as any digital representation of value used as a medium of exchange that does not qualify as legal tender. The measure is designed to complement another legislative initiative, AB 1052, which seeks to establish the legal right for California residents to self-custody digital assets and to use them as valid forms of payment in private transactions. This bill passed in a separate 11-0 committee vote in May, and it will also prohibit public agencies from taxing or restricting the use of crypto solely due to its nature as a digital asset.

While lawmakers are embracing crypto, not all of them are going about it in the right way. Texas Representative Brandon Gill is under scrutiny after failing to meet federal disclosure deadlines for two large Bitcoin purchases. This means that he potentially violated the STOCK Act. Gill is a first-term Republican and vocal supporter of Donald Trump. He reported buying between $100,001 and $250,000 worth of Bitcoin on both Jan. 29 and Feb. 27 but submitted the disclosures weeks after the 45-day deadline required by the law. The STOCK Act was enacted to curb insider trading and ensure transparency among lawmakers, but it imposes only a $200 fine for late filings. Gill’s January purchase came shortly after Trump issued an executive order promoting American dominance in digital assets, while the February acquisition preceded Trump’s announcement of a strategic Bitcoin reserve. Currently, Bitcoin has climbed above $105,000, which suggests that the trades may have appreciated in value. In May, Gill disclosed two more Bitcoin purchases, which were valued up to $250,000 and $100,000 respectively, both of which were filed on time. He also reported timely investments in the Invesco S&P 500 Equal Weight ETF and a money market fund.

In addition to his financial dealings, Gill holds positions on several powerful House committees, including Oversight and Government Reform, Budget, and Judiciary. He also publicly endorsed cryptocurrency by describing it as a vital component of the monetary system that facilitates permissionless peer-to-peer transactions. He is also the sponsor of the “Putting Trust in Transparency Act,” which calls for increased visibility into nonprofit donors. Gill now joins a growing list of lawmakers who have violated the STOCK Act this year. Other members, including Representatives Jamie Raskin, Dwight Evans, and Neal Dunn, have also been cited for late disclosures. Meanwhile, bipartisan momentum is building around legislation that would prohibit members of Congress and their families from trading individual stocks and cryptocurrencies altogether.