The South Korean election is over, and early signs point to a crypto-friendly approach by President-elect Yoon Seok-yeol. Yoon has on various occasions promoted investment and growth in the digital asset sector.
One major campaign promise was that his administration would treat virtual assets like stock, and raise the tax-free limit on crypto holdings to 50 million won. Coincidentally, candidate Lee Jae-myung also made a similar proposal. The particulars of the tax laws and regulations would require further analysis, but the issue of treating cryptocurrencies on an equal basis with securities was at the heart of his cryptocurrency industry policies.
Yoon’s administration would also be more amenable to new ICOs, departing from the stance of outgoing President Moon Jae-in. The accommodation of the digital asset market within the framework of existing financial regulations would remain key in implementing any changes.
President-elect Yoon has also expressed a desire to earmark funding for venture companies, start-ups, and small and medium-sized enterprises (SMEs) within the digital asset industry. In conjunction, he has acknowledged the need to reinforce coding and AI education to create an infrastructure and domestic workforce that can remain globally competitive.
Furthermore, Yoon has explored the idea of abolishing the stock transfer tax for all investor levels. Whether or not the promise is fulfilled is expected to have a significant impact on the stock market. The degree to which any of his ideas will be implemented remains to be seen.
