Lee plans to introduce crypto-friendly reforms, approve Bitcoin ETFs, and launch a Korean won-backed stablecoin.
South Korea has elected pro-crypto candidate Lee Jae-myung as its new president, marking a significant shift in the country’s digital asset policy landscape. Lee, the center-left Democratic Party leader, secured victory in the June 3 snap election, following a turbulent political period that saw the previous administration impose martial law.
Decisive Win Amid Political Unrest
With 99% of votes counted, Lee won over 49% of the vote, defeating conservative rival Kim Moon-soo, who garnered around 41%, according to the National Election Commission. The voter turnout reached nearly 80% of the 44.4 million eligible voters, the highest participation rate in a South Korean presidential election since 1997.
Lee’s Bold Crypto Vision
Lee’s campaign centered around a progressive crypto agenda. He pledged to:
- Allow the $884 billion National Pension Fund to invest in Bitcoin and cryptocurrencies
- Approve Bitcoin spot ETFs (exchange-traded funds)
- Launch a Korean won-backed stablecoin to strengthen South Korea’s financial system
“We need to establish a won-backed stablecoin market to prevent national wealth from leaking overseas,” Lee stated during a May policy event.
These pro-crypto promises have generated significant buzz within South Korea’s blockchain and fintech communities.
Bitcoin Price Surges on Election News
Following Lee’s victory, Bitcoin prices soared on South Korean exchanges, with the asset trading as high as 149 million won ($108,480) on platforms like Bithumb and Upbit. This marked a 2% increase over global exchange prices, a trend often referred to as the “kimchi premium”. Globally, Bitcoin hovered around $106,600 before a slight pullback.
Crypto Support Across Party Lines
Interestingly, Lee wasn’t the only candidate supporting digital assets. His opponent, Kim Moon-soo, also backed the introduction of crypto spot ETFs and proposed regulatory easing to boost crypto adoption in South Korea.
Economic Recovery and Broader Reforms
While it remains to be seen how quickly Lee will implement his crypto-related policies, he has outlined a broader reform agenda, including:
- Revitalizing the economy with investments in AI and defense technologies
- Introducing a 4.5-day workweek
- Depoliticizing the prosecution system
- Preventing future military coups
During his victory speech in Seoul, Lee promised to “work to restore the economy from day one.”
What This Means for Crypto in Asia
Lee Jae-myung’s election could position South Korea as a regional leader in crypto regulation and blockchain innovation. With plans to embrace digital assets at the institutional level and foster a stablecoin ecosystem, South Korea may soon become one of the most crypto-progressive nations in the world.
