South Korea’s Financial Supervisory Service (FSS), intends to seek guidance in a meeting with the Securities and Exchange Commission (SEC) Chair Gary Gensler regarding spot Bitcoin exchange-traded funds (ETFs).
Financial institutions are subject to examination and supervision by the FSS, operating under the overarching jurisdiction of the Financial Services Commission.
On February 5, fiscal supervisor Lee Bok-Hyun delivered a business plan for 2024 at the Financial Supervisory Service in Seoul. A report indicates that during the second quarter of the year, the two parties intend to travel to prominent advanced financial centers, such as New York, to deliberate on various topics about the financial markets in South Korea. Among these topics will be spot Bitcoin ETFs.
The FSS chief disclosed that he intends to meet with SEC Chair Gary Gensler later in 2024 to discuss digital assets and identify Bitcoin ETFs, among other things. Furthermore, he stated that the recent SEC approval of spot Bitcoin ETFs significantly affected global financial policies.
Lee’s announcement arrived several weeks after the SEC approved the initial Bitcoin ETFs in the United States. On January 10, the SEC authorized eleven spot BTC ETFs in a momentous ruling.
In the past, the SEC denied applications for spot BTC ETFs, citing the vulnerability of the cryptocurrency market to market manipulation due to its small scale.
Following the SEC’s approval of spot Bitcoin ETFs, the Korean securities regulator warned domestic firms against brokering U.S.-based spot Bitcoin ETFs. Nonetheless, it stated then that it intended to evaluate and update its regulations governing the approval of spot Bitcoin ETF trades in the United States.
South Korea is a leader among the Asia-Pacific nations in regulating cryptocurrency markets. Concerning crypto regulations, the country has frequently followed the United States lead, outlawing credit card usage for cryptocurrency purchases and crypto blending services.
