South Korea is poised to revitalize its cryptocurrency market as the Financial Services Commission (FSC) announces plans to lift restrictions on local institutional cryptocurrency trading. This strategic move is designed to integrate institutional investors into the crypto economy, beginning with non-profit organizations, according to reports from Yonhap news agency.

The FSC’s initiative aligns with President Yoon Suk-yeol’s campaign pledges to bolster the local cryptocurrency sector. The administration, together with the ruling People Power Party, is advocating for the introduction and local trading of spot crypto exchange-traded funds, currently not available in South Korea.

Further regulatory advancements are on the horizon as the FSC aims to refine the Virtual Asset Investor Protection Act with a new focus on stablecoins, crypto exchanges, and token listings. Amendments to the Financial Information Act are also expected, introducing a screening system for major shareholders of virtual asset service providers, marking a significant step forward in crypto regulation.

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