An official at the Korea Exchange has revealed that the local crypto market will be affected by the decision made by the SEC regarding the Bitcoin ETF in a report by the Korea Herald on February 20, 2019.
With Bated Breath
The upcoming decision to be made by the SEC on the Bitcoin ETF is one of the most anticipated in the crypto community with many firms applying and many being denied. This is because a possible approval could signal a new wave of mainstream investments which would, in turn, turn fortunes around for the crypto industry.
Now, it seems the effects will not only be felt in America but also in other parts of the world such as South Korea. This new information comes courtesy of an official from the Korea Exchange who spoke with the Korea Herald on February 20, 2019. According to him, while South Korea has kept certain parts of the crypto industry such as ICOs restricted, it is closely watching what the US will do.
The official who spoke anonymously, said:
“The US has been the front-runner on the cryptocurrency market and related derivatives, and there are strong voices supporting the launch of bitcoin ETFs within the market — which is why we are observing the progress and response of the US Securities and Exchange Commission’s decision on bitcoin ETFs,”
“Providing a solid index required for the launch of such ETFs and of its role when it is commercialized and integrated into the market is being discussed expansively at the KRX because it would eventually concern investor protection issues.”
Needless to say, the US approving an ETF could create a ripple effect that will be felt all over the world and like crypto itself, bitcoin ETFs could become more commonplace as a result.
In the Meantime..
While there is attention being given to a possible bitcoin ETF in the United States, local investors in Korea are busying themselves by focusing on blockchain ETFs, which they are currently able to carry out without any interference from South Korea’s Financial Supervisory Service.
For example, a spokesperson for Mirae Asset Global Investments told the paper that their company is currently managing an overseas blockchain ETF called the Horizons Blockchain Technology & Hardware ETF but haven’t yet engaged in any Bitcoin transactions. Perhaps when the SEC announces its decision, this will change.