Lee Jae-myung Elected South Korea President with Bold Crypto Agenda

Lee Jae-myung has been elected as South Korea’s new president, defeating conservative rival Kim Moon-soo in a snap election. Backed by the Democratic Party of Korea, Lee secured 49.4% of the vote, nearly three million more than Kim, according to South Korea’s National Election Commission.

Lee’s victory is seen as a win for the nation’s 15 million crypto investors. Throughout his campaign, he pledged major reforms to strengthen South Korea's digital asset sector. These include legalizing spot crypto ETFs and enabling institutional investors like the National Pension Fund to allocate capital to select cryptocurrencies and blockchain-based products. In a livestreamed discussion with YouTube creators, Lee emphasized the need for a stable, won-based stablecoin market to prevent capital flight and support domestic blockchain innovation.

South Korea has already laid the groundwork for a maturing crypto ecosystem. The 2023 Virtual Asset User Protection Act defined digital assets, imposed penalties for illegal activities, and granted the Financial Services Commission (FSC) oversight powers. The FSC also introduced guidelines to regulate security tokens and began allowing non-profits and crypto exchanges to sell digital assets under the new framework.

Lee's election signals a significant shift in national policy, aligning South Korea more closely with other Asian markets like Hong Kong and Pakistan, which are also embracing crypto innovation. As global market capitalization surpasses $3.4 trillion, the role of proactive regulation and government support becomes even more critical.

Lee’s administration is expected to prioritize investor protection, blockchain adoption, and digital finance growth, potentially positioning South Korea as a global hub for cryptocurrency innovation.