We live in a global market today. A great example of this is a new story that was published in The Korea Herald, a local media outlet of South Korea. Korea Herald argues that the decision of the U. S. Securities and Exchange Commission (SEC) will set the mood for the year of cryptos in South Korea.
South Korea is really anticipating April 5, when the SEC will decide whether the ETF proposed by SolidX and VanEck will be approved or not. The SEC can also postpone the decision, which was the path that the agency decided to follow last year.
Sure, the whole world is looking at the SEC and waiting to know what will happen, but Korea Herald affirms that the bearish market has caused the investors in Korea to really be interested in the ETF.
According to an inside source cited by Korea Herald, the United States have been a front-runner in the industry and the ETF will cause a huge positive impact in the market. This is why all eyes are looking at the SEC right now.
The official has also added that a solid index like the ETF would have a central role in the crypto economy and that it would help the market to grow. Most investors seem to believe that the ETF will be an investment fund that will rejuvenate the crypto market, which has been facing tough times recently as its prices have fallen over 90% during last year.
Also, the ETF is largely seen as a not so risky way to finally enter the crypto market because it will be highly regulated. Most crypto investments are not very well regulated and some more traditional investors are very afraid of them.
Investors would be able to invest in Bitcoin without actually having to invest in the real Bitcoin and they could access this market in a much easier way because of the ETF. The risks associated with storing the funds would also be way lower, too, as a lot of people see their private keys gone or stolen and centralized exchanges are often hacked.
Blockchain Is Booming In South Korea
South Korea has been one of the countries in which the blockchain technology is developing a lot. The city of Seoul, for instance, will see the creation of a fund that will give $1 billion USD to crypto investors.
Despite the cautious regulation around Initial Coin Offerings (ICOs) in the country, South Korea is very positive with cryptos and the market. Korea has 30% of all the cryptos traded globally and a lot of people there already own cryptos.
A nod from the SEC, however, is what is missing for the market to really skyrocket in the country for once and for all, as reported by the Korea Herald.