Cryptocurrency markets have taken center stage ahead of the upcoming early presidential elections in South Korea.
The expanding cross-generational digital asset investor base across the country has pushed candidates to run with crypto-friendly policies.
All three leading presidential candidates have made positive promises toward crypto, including legalizing spot Bitcoin (BTC) exchange-traded funds (ETFs) and easing banking restrictions on fiat and crypto trading, which are limited to just five platforms.
The June 3 elections come nearly two years early after former President Yoon Suk-yeol was ousted from office following a controversial declaration of martial law in late 2024. Although Yoon’s sudden attempt to seize power was swiftly rebuffed by parliament, the move sparked a political crisis and resulted in his impeachment.
Yoon had promised to reform crypto regulations in his 2022 election campaign, targeting young voters in particular. In the 2025 elections, digital assets have now become one of the main agendas, with older generations also investing significantly.
All three main candidates running in this election are promising to grow the local crypto economy. Lee Jae-myung, the opposition Democratic Party candidate, is back on the scene with a crypto-friendly campaign after losing to Yoon in 2022.
Kim Moon-soo, the candidate of the ruling People’s Power Party (PPP), is trying to reshape the conservative base after the ousted Yoon left the party.
Lee Jun-seok, former PPP leader and the youngest party leader in South Korean political history, is running as an independent candidate with the Reform Party, which he founded at the beginning of 2024.
Lee Jae-myung, who also made pro-crypto promises in the 2022 election, did not take as aggressive a stance as Yoon at the time. Yoon’s promises included steps such as lifting the ban on play-to-earn (P2E) games and allowing initial coin offerings (ICOs), but most of them were not implemented.
Both Lee Jae-myung and Kim have included Bitcoin ETFs as campaign promises, a move seen as part of growing global momentum following the US approval of spot Bitcoin ETFs in 2024.
Yoon’s failed coup attempt accelerated the election process and brought new attention to unresolved issues in the crypto industry.
“In the 2022 elections, cryptocurrencies were seen as speculative and unreliable. But by 2025, it has become a mainstream issue with major candidates promising to institutionalize and financialize crypto in response to the investment reality of young voters,” said Dongguk University’s Park.
South Korea remains one of the world’s largest crypto markets. In the first quarter of 2024, the Korean won was the most traded fiat currency against crypto. This is largely driven by individual investors, while institutional investors are waiting for the FSC to launch a pilot trading program for professional investors.
*This is not investment advice.
