Korea’s top financial regulators are working on a detailed roadmap to support the launch of a digital asset spot exchange trading fund.
According to a June 19 report by Herald Economy, the Financial Services Commission revealed the move during policy updates to the State Issues Planning Commission.
The FSC plans to roll out its proposals later in the year. We assess the implications of implementing crypto-based spot ETFs, including financial stability, investor exposure, and potential risks to the wider economy.
The agency will also build the infrastructure necessary to list and manage such ETFs, while ensuring investors’ protection measures.
This policy push coincides with a campaign pledge by President Ree Jae Myung, who previously advocated for allowing the issuance and trading of similar investment products related to Bitcoin-based ETFs and digital assets.
Stablecoin monitoring and fee structure during review
Beyond the ETF rollout, FSC is moving forward with the second phase of the Digital Assets Act.
This next step will focus on regulating crackdowns on asset lists, disclosures, business practices, and unfair market activity.
An important part of this effort is adjusting Stablecoin rules to international standards while protecting users and increasing market transparency.
In particular, South Korean authorities are particularly concerned about the growing influence of US dollar-controlled stubcoins in their domestic market. Bank of Korea Governor Lee Jang Yong recently warned that the winning stubcoin could increase demand for the US dollar, posing macroeconomic risks.
Meanwhile, FSC is planning to begin a market-wide review of trading fees charged by local crypto exchanges.
This review initially covers Korea’s biggest exchanges such as Upbit, Bithumb, and Coinone.
Key areas of interest include how fees are structured for these platforms, whether this information is transparently disclosed, and the scope of voluntary fee reductions.
South Korea’s latest regulatory steps reflect the intention to balance innovation and user protection to reshape crypto market policies