South Korea’s Financial Services Commission (FSC) is updating guidelines to allow corporations to invest in digital assets, overturning a nine-year ban. Listed companies and professional investors can invest up to 5% of equity capital in crypto assets on top 20 cryptocurrencies on Korea’s five largest regulated exchanges. Dollar-pegged stablecoins like USDT are still under discussion.
The move could bring tens of trillions of won into crypto markets, potentially allowing companies like Naver to buy significant amounts of BTC. The launch of a national stablecoin and spot Bitcoin exchange-traded funds is expected to accelerate. This could lead to an expansion of local crypto companies, blockchain startups, and digital asset treasuries.
In addition to the corporate crypto investment update, South Korea’s government announced a digital currency strategy aiming to execute 25% of all national treasury funds through a CBDC by 2030. The strategy includes a licensing system for stablecoin issuers like Tether, requiring 100% reserve asset backing and legally guaranteeing users’ redemption rights.
Read more at Cointelegraph.com
1. Bitcoin reached a new all-time high of $64,863, surpassing its previous record set in April. The cryptocurrency’s market cap also hit $1.2 trillion, making it more valuable than companies like Facebook and Tesla.
2. Ethereum’s price surged to over $2,500, marking a new record high for the second-largest cryptocurrency by market cap. The total value locked in decentralized finance (DeFi) platforms also hit a new high of $65 billion.
3. Dogecoin experienced a 400% price surge after a series of tweets from Elon Musk and Mark Cuban. The meme-based cryptocurrency reached a market cap of $50 billion, surpassing the market cap of Ford and Twitter.
4. The total value locked in DeFi platforms surpassed $100 billion for the first time, with projects like Maker, Aave, and Compound leading the way. DeFi continues to grow in popularity as investors seek alternative ways to earn yield on their crypto assets.: South Korea Will Allow Corporate Crypto Investment After 9 Years