#我的2026第一条帖 Korea "Reopening"! After 9 years, East Asia's crypto landscape is experiencing a震?

A new draft regulation from the Korea Financial Services Commission (FSC) is causing a shift in capital flows in the Asian crypto market. The phenomenon of "Kimchi Premium," unique to Korea's crypto scene, may soon need a new interpretation.
The FSC has just proposed a new guideline allowing listed companies and professional investment institutions to invest up to 5% of their equity capital in cryptocurrencies annually. This policy is expected to be finalized in early 2026, and companies could start acting as soon as this year. The market immediately recognized that this could mean about 3,500 Korean companies, from tech giants to financial institutions, becoming new players in the crypto market.
Breaking the Ice After 9 Years
Rewind to 2017, when the Korean government completely banned corporate investments in cryptocurrencies. That year, retail investors flooded into the crypto market, and the government feared that corporate funds would fuel a bubble. An outright ban kept institutions out. Nine years later, Korea's policy is doing a 180-degree turn. Why now? The answer lies in Korea's 2026 economic growth strategy. Crypt assets are officially included in the national economic plan, and policymakers realize that if restrictions are not eased, Korean tech companies will fall behind in this global race. Looking at neighboring countries: Japan has long allowed venture capital firms to hold crypto assets directly, and Hong Kong is actively promoting institutionalized crypto funds. When Korean tech giants like Naver and Kakao are expanding into Web3, they are hampered by domestic policies. Clearly, this is not the situation Korea wants to see. Korea's financial regulators finally understand that instead of letting capital flow overseas, it’s better to build a compliant system domestically.
The Power of 5%
This 5% cap may seem conservative, but its significance goes far beyond the number itself. Let's do some math: taking Korea's internet giant Naver as an example, its equity capital is about 27 trillion KRW, roughly $184 billion. If it allocates the maximum 5%, that alone is enough to significantly impact liquidity in mainstream crypto assets. This is not just a numbers game. When crypto assets can legally appear in corporate financial reports, and institutional funds can safely move through five compliant exchanges, the underlying logic of the entire market will change. Signs of this change are already emerging. The FSC is studying the possibility of approving Bitcoin spot ETFs. Once corporate investment in crypto assets becomes routine, the launch of ETFs will be almost a natural progression.
East Asia's New Battlefield
Globally, the regulatory landscape in 2025 shows interesting divergence. The US SEC continues to pressure the DeFi sector, and Europe's regulatory framework is tightening. Korea's open policy stands in stark contrast, becoming a landmark event in Asia. Will this trigger a chain reaction? As Korean corporate funds start flowing into the crypto market, will Southeast Asia and even broader economies accelerate their own institutional holding standards? Asia is becoming a new battleground in crypto. Japan's proactive policies, Hong Kong's enthusiasm, and Korea's policy thaw seem to be forming a tacit understanding: rather than resisting, it’s better to guide and leverage this wave of technology. This regional policy shift could reshape the flow of global crypto funds in the coming years.
Blue Chip Era
It’s important to note that Korea’s new regulation only allows investment in the top 20 cryptocurrencies by market cap. This means funds will concentrate on mainstream assets like BTC and ETH. For altcoins, this could be bad news. As institutional funds become a major market force, their risk preferences will dominate capital flows. High market cap, high liquidity, and clear compliance will be favored, while the survival space for small-cap tokens may further shrink. This is not simply a matter of "the big ones always win"; it’s an inevitable stratification in the institutionalization process. For ordinary investors, this means reassessing their portfolios: small coins that were once hotly promoted may find it even harder to attract incremental funding in the future.
Korea’s policy shift is like a stone thrown into a calm lake, and the ripples are already spreading. A cautious FSC official stated that "the details are still being refined." But market expectations are already set: 3,500 companies, even if only some utilize this 5% quota, will bring unprecedented capital inflows.
"Will this influx of Korean institutional funds trigger the next round of price revaluation?" There’s no definitive answer, but one thing is certain: the market’s balance is shifting. The crypto world is moving from its wild west era into an institutional age. Korea’s lifting of restrictions is a key milestone in this process, but not the end. When crypto assets start appearing on corporate financial statements, and institutional funds become a daily trading component, the market will no longer be what it was. And we are all witnesses to this transformation.