South Korean Presidential Candidate Lee Jae-myung Pledges Crypto-Friendly Policies

According to Cointelegraph, South Korea's Democratic Party leader, Lee Jae-myung, has announced his intention to approve spot crypto exchange-traded funds (ETFs) and implement other crypto-friendly measures if elected as president. Lee's announcement, made on May 6, is part of a broader initiative aimed at providing more investment opportunities for the country's youth, a key demographic in the upcoming June 3 election. Lee emphasized the importance of creating a safe investment environment to help young people build assets and plan for their future. His promises include the legalization of spot crypto ETFs, reduced transaction fees, and enhanced consumer protection measures. The Democratic Party of Korea, led by Lee, is currently favored to win the presidential election, with 42% support according to a survey conducted by Korea's National Barometer Survey between April 24 and 30. Korea's acting president, Han Duck-soo, trails behind with 13% support. This marks the first time Lee has incorporated crypto-related policies into his presidential campaign. The Democratic Party had previously made similar promises during the 2024 general election campaign, including the legalization of spot crypto ETFs, but progress had stalled. In a parallel development, South Korea's ruling party, the People Power Party, has also made crypto policy promises. In late April, the party proposed allowing spot crypto ETFs, dismantling the controversial one-exchange-one-bank rule, and establishing a regulatory framework for stablecoins. The one-exchange-one-bank rule restricts each crypto exchange to partnering with only one local bank, a measure intended to prevent money laundering and enhance transparency by verifying the identities of crypto investors. Industry officials in South Korea estimate that approximately 16 million people, or 31% of the country's 51.7 million population, have access to a crypto account. The controversial one-exchange-one-bank rule had previously led to a significant drop in the value of cryptocurrencies like Bitcoin (BTC) and Ether (ETH), although most coins recovered after the rule was lifted. Meanwhile, Korea's Constitutional Court upheld the impeachment of Yoon in a unanimous decision on April 4, effectively removing him from office.