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South Korean Regulator Plans to Discuss Crypto Rules With US SEC Chair Gary Gensler

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South Korean Regulator Plans to Discuss Crypto Rules With SEC Chair Gary Gensler

South Korea’s financial watchdog chief is planning to visit the U.S. to discuss crypto regulation with the chairman of the U.S. Securities and Exchange Commission (SEC), Gary Gensler, with a focus on the SEC’s recent decision to approve spot bitcoin exchange-traded funds (ETFs). He stressed that currently, the impact of SEC policies on the world is important.

South Korea Seeks to Discuss Crypto Regulation With SEC Chair Gary Gensler

South Korea’s Financial Supervisory Service (FSS) Governor Lee Bok-hyun announced on Monday his intention to visit leading financial markets in 2024, including the U.S., local media reported.

During these visits, the FSS chief plans to engage in discussions on key regulatory issues, including those pertaining to the cryptocurrency industry, with a particular focus on spot bitcoin exchange-traded funds (ETFs). He stated during a Q&A with reporters:

I will meet with SEC Chairman Gary Gensler (this year) and there are areas where we will focus on … such as virtual asset issues and bitcoin spot ETFs.

“Right now, the impact of SEC policies on the world is important … We [he and Gensler] need to meet and discuss this year,” the FSS governor emphasized.

After years of rejections, the U.S. Securities and Exchange Commission (SEC) approved 11 spot-bitcoin exchange-traded funds (ETFs) on Jan. 10. Ten of them began trading the next day, including Grayscale’s Bitcoin Trust (GBTC), which converted into a spot-bitcoin ETF, and Ishares Bitcoin Trust (IBIT) by Blackrock, the world’s largest asset manager.

South Korea has yet to approve any spot bitcoin ETFs. Currently, virtual assets are not defined as financial products in the country, therefore the launch of spot bitcoin ETF would be considered a violation of the Korean Capital Market Act, which mandates that ETFs track underlying assets like stocks and bonds.

What do you think about the South Korean regulator planning to discuss crypto regulation with SEC Chair Gary Gensler, including issues surrounding spot bitcoin ETFs? Let us know in the comments section below.


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