South Korea’s FSC Maintains Ban on Crypto ETFs

The Financial Services Commission (FSC) of South Korea has reiterated its stance on the prohibition of cryptocurrency exchange-traded funds (ETFs), stating that launching such funds is “impossible.” The FSC emphasized the need to stabilize financial markets and protect investors, citing concerns about the potential illegal outflow of domestic funds due to credit card payments on foreign crypto exchanges. The ban on banks and financial institutions from buying and owning cryptocurrencies in South Korea remains in place. The FSC official highlighted the regulatory approach of other countries, such as the United States, Hong Kong, and Germany, which have allowed crypto ETFs, but maintained that it is legally impossible in South Korea. (Source: Cryptonews)