South Korean Presidential Candidate Pledges Spot Crypto ETF Approval

South Korean presidential hopeful Lee Jae-myung has pledged to approve spot cryptocurrency exchange-traded funds (ETFs) and create a safer investment environment for young investors if elected president. This announcement comes as part of a broader strategy to appeal to younger voters, who have been increasingly turning to digital assets in search of better returns.

Lee, the Democratic Party’s presidential candidate, has outlined a set of crypto-friendly promises, including the legalization of spot crypto ETFs and the creation of a unified oversight system to strengthen protections for investors and bring more transparency to the market. He also pledged to reduce trading fees and overhaul current regulations, signaling a broader effort to make crypto a more stable and mainstream investment option for everyday users.

Lee's message is aimed at younger South Koreans who have been priced out of traditional assets like real estate and stocks. By making crypto investment safer and more accessible, Lee hopes to help young people build assets and plan for the future. This move is seen as an effort to attract the growing number of crypto users in South Korea, who have been eagerly awaiting regulatory clarity and support.

Lee joins a growing list of politicians trying to win over crypto voters. With around 16 million crypto users, roughly 36% of the electorate, digital asset investors have become a major voting bloc. Politicians from both major parties are actively courting them. The Democratic Party has reportedly brought in a token securities expert to help shape policy, and one of its lawmakers recently introduced a draft bill dubbed the Digital Asset Promotion Basic Act.

The ruling People Power Party has also laid out its own ambitious plan to support the crypto sector. In April, the party unveiled a seven-part strategy, including a commitment to approve spot Bitcoin ETFs this year. Further, it wants to scrap South Korea’s one-exchange-one-bank rule, allow institutions to trade crypto, and roll out a stablecoin regulatory framework in line with global standards.

Lee's pledge to approve spot crypto ETFs and reduce transaction fees has been met with enthusiasm by the crypto community, who see it as a positive step towards greater regulatory clarity and support. However, it remains to be seen whether these proposals will be implemented if Lee is elected, and how they will impact the broader crypto market. Regardless, the announcement has highlighted the growing importance of cryptocurrencies in South Korea's political and economic landscape, and the potential for regulatory changes to shape the future of the industry.