South Korea Reverses Bitcoin ETF Ban in Major Crypto Regulation Shift

South Korea is poised to reverse its longstanding prohibition on spot Bitcoin exchange-traded funds (ETFs), signaling a pivotal shift in the nation's regulatory approach to digital assets. This move forms a core part of a broader, government-led initiative to foster growth and innovation within the cryptocurrency sector. The policy reversal, expected to be formally announced by financial authorities, aims to provide domestic investors with regulated and accessible avenues for Bitcoin exposure, aligning South Korea with global financial market trends. Analysts view this development as a significant step towards mainstream crypto adoption in Asia's fourth-largest economy, potentially unlocking substantial institutional capital. The regulatory pivot is also anticipated to stimulate the local fintech ecosystem and enhance South Korea's competitiveness in the burgeoning digital asset industry.