South Korea announces reforms to attract cryptocurrency investment

• Country wants to attract institutional capital for cryptocurrencies
• New rules could benefit Bitcoin and Ethereum
• Plan includes regulated digital asset ecosystem

South Korean President Lee Jae-myung has unveiled a set of regulatory reforms focused on strengthening the domestic cryptocurrency market. The initiative aims to create a national digital asset ecosystem that encourages innovation, increases institutional investor participation, and provides greater legal certainty for companies in the sector.

The project has the support of parliamentarians working on drafting specific laws to regulate digital assets. With clearer rules, the government's goal is to position South Korea as a strategic hub for cryptocurrency-related businesses. "Our government is committed to establishing a national digital asset ecosystem that will foster innovation and support the growth of the cryptocurrency market," stated Lee Jae-myung.

The signaling of regulatory changes is already sparking the interest of major investors and technology companies. Developers and startups see the new rules as an opportunity to expand projects and attract resources to the country. Research indicates that regulatory clarity tends to increase market stability and encourage technological advancements. Previous experience in South Korea itself shows that well-structured adjustments resulted in an increase in the number of licensed brokerages and growth in trading volume.

Furthermore, analysts highlight that the move could strengthen the country's competitiveness compared to economies already investing in creating favorable regulatory environments for cryptocurrencies such as Bitcoin and Ethereum.

On August 15, 2025, Bitcoin (BTC) was trading at $118.480,72, with an estimated market cap of $2,36 trillion and a dominance of 58,81%. The 24-hour trading volume was $100,18 billion, a 4,13% drop over the period.

With this set of measures, the South Korean government seeks not only to foster a safer and more transparent domestic market, but also to position the country as an attractive destination for companies and investors in the crypto sector on the global stage.