People Power Party, Pledge To Greatly Ease Virtual Asset Regulations…"Promoting Abolition Of Spot ETF·1 Exchange 1 Bank"

Kwon Young-se, emergency committee chair of the People Power Party, speaking at the Emergency Committee meeting held at the National Assembly on the 28th (Source: Yonhap News)

The People Power Party announced 7 major pledges centered on easing regulations in the digital asset market, and stated they will promote the allowance of virtual asset spot ETF trading within the year and the abolition of the '1 exchange 1 bank' system.

At the Emergency Committee meeting held at the National Assembly in Yeouido, Seoul on the 28th, Representatives Park Soo-min and Choi Bo-yoon declared that the People Power Party promises the public 7 major initiatives to foster the digital asset industry ecosystem in South Korea with the goal of becoming a digital asset global G2.

This pledge includes the abolition of the '1 exchange 1 bank' system, institutionalization of virtual asset trading by corporate and institutional investors, allowance of virtual asset spot ETF trading within the year, token securities (STO) legislation, introduction of a regulatory system for stablecoins, establishment of a basic law for digital asset development, and groundbreaking tax system reform.

Representative Park Soo-min emphasized, "We will open a commonsense era where various exchanges can be used through the bank of one's choice" and stressed the abolition of the '1 exchange 1 bank' principle. Additionally, Park stated, "We will open nonprofit corporate transactions starting from the second quarter, and complete a system allowing 3,500 corporations and institutions to participate in the market within the year."

Regarding virtual asset spot ETFs, "Many asset management companies are launching various products, and as the United States, Hong Kong, and the United Kingdom also allow spot ETF trading, South Korea can no longer delay," expressing determination to allow it within the year.

Representative Choi Bo-yoon promised to establish a legal definition and regulatory system for stablecoins, stating, "We will stabilize the value of stablecoins by clarifying issuer requirements and establishing standards for prep assets and operational regulations." Choi also added that through the establishment of the basic law for digital asset development, they will grow the market to be more diverse and specialized.

Considering that most virtual asset investors are small-scale investors, a bold tax system reform will also be pursued. Representative Choi said, "We will set up a tax system that does not block market potential and will establish a special committee on virtual assets directly under the newly elected People Power Party presidential candidate to lead institutionalization."

The People Power Party put forward the goal of making South Korea the hub of the global digital asset market through these 7 major pledges.