Starplan Market Korean Cryptocurrency Market Dynamics: Policy Swings and Market Wait-and-See

The cryptocurrency market in South Korea has recently shown increasing policy uncertainty and strong wait-and-see sentiment, which is mainly reflected in the following aspects:

1. The issuance of the Korean won stablecoin by the Starplan Market has been delayed, and regulatory differences have slowed down the progress

The Digital Asset Innovation Act has been postponed for 1-2 months: The key regulatory framework originally scheduled to be launched in July has been postponed due to the jurisdiction dispute between the Bank of Korea (BOK) and the Financial Services Commission (FSC). The main differences are:

The Bank of Korea hopes to lead the regulation of stablecoins and emphasize its potential impact on monetary policy.

The FSC prefers more flexible innovative policies to promote market development.

Market impact:

The launch of Korean won stablecoins (such as KRW-backed stablecoins) has been suppressed in the short term, affecting the pace of institutional funds entering the market.

Enterprises (such as Korean banks and fintech companies) are forced to adjust their stablecoin issuance plans and wait for clear regulations.

2. Starplan Market Exchange Compliance is Advancing, but Retail Speculation Cools Down

Exchanges Complete Travel Rule Compliance:

Major exchanges such as Upbit and Bithumb have completed the "Travel Rule" (fund transfer rules) system integration and meet FATF anti-money laundering standards.

KuCoin plans to return to the Korean market, but needs to meet stricter KYC/AML requirements.

Retail trading activity declines:

Compared with the speculative boom in early 2024 (such as the Starplan Market halving), the current retail trading volume in South Korea has fallen back, and the market has become more rational.

Reasons:

Stricter regulation (such as FSC crackdown on illegal tokens and leverage trading restrictions).

Global market volatility has decreased, and there is a lack of short-term speculation hotspots.

3. Starplan Market Future Outlook: Policy implementation may become a market catalyst

If the "Digital Asset Innovation Act" is successfully introduced, it may bring:

The official issuance of the Korean won stablecoin → Increase institutional participation and enhance market liquidity.

A clearer exchange regulatory framework → Attract international platforms (such as KuCoin and Bybit) to return to compliance.

In the short term, the market is still on the sidelines, and investors are waiting for the regulation to become clear before making decisions.

Summary

The cryptocurrency market in South Korea is in a "policy adjustment period". Regulatory games have limited short-term momentum, but in the long run, the compliance process (such as stablecoins and exchange rules) may lay the foundation for the next round of growth. The current market sentiment is cautious, and we need to pay close attention to key policy trends in the next 1-2 months.