South Korea's Financial Committee Plans Virtual Asset Committee

According to Odaily, the South Korean Financial Services Commission (FSC) is planning to establish a Virtual Asset Committee to discuss the approval of spot ETFs and the allowance of corporate virtual accounts. Previously, the FSC had prohibited the trading of Bitcoin and other virtual asset ETFs due to the lack of underlying assets and had banned companies from opening virtual asset accounts due to money laundering risks. The committee will be led by the Vice Chairman of the FSC and will include officials from the finance, economy, legal, and technology departments, as well as private sector representatives. Additionally, the FSC is monitoring market anomalies to protect investor rights and is considering further regulatory improvements. CryptoQuant CEO Ki Young Ju noted that if these plans are approved, it would be beneficial as the entry of arbitrage funds and market makers into the South Korean market would mitigate the kimchi premium effect.