South Korea Proposes 5% Crypto Limit for Public Companies: Impact on Bitcoin (BTC) and Market

South Korea's financial regulators have introduced a draft proposal to impose a 5% limit on cryptocurrency holdings for publicly listed companies. This new rule, part of the "Disclosure Regulations for Listed Companies," aims to enhance investor protection and market stability by capping corporate exposure to volatile digital assets like Bitcoin (BTC) and Ethereum (ETH). The proposal mandates that firms exceeding this threshold must disclose detailed information about their crypto investments. Analysts suggest this move could reduce speculative corporate investment in crypto, potentially leading to decreased market volatility. The public comment period for the proposal is open until mid-October, with final implementation expected later this year. This regulatory step reflects South Korea's ongoing efforts to create a safer and more transparent framework for digital asset integration within the traditional financial system.