South Korea saw its first institutional digital assets sale following the start of its ban lift on institutional crypto transactions. The positive development came two days before the snap presidential elections, scheduled for June 3, 2025.
First Institutional Crypto Sale In South Korea
On Sunday, South Korean non-profit organization World Vision made the first digital assets sale by an institution in the country. In a statement from Dunamu, Upbit’s parent company, the crypto exchange announced that it had supported the historical first sale of 0.55 Ether (ETH) by a corporation for 1.98 million won, equivalent to $1,437.
Starting June 1, 2025, non-profit organizations, including charities and universities, are permitted to sell crypto holdings through local exchanges as part of the Financial Services Commission (FSC) roadmap for corporate participation in the digital asset market.
In February, the FSC’s Virtual Asset Committee announced it would gradually lift its ban on institutional investment in digital assets by allowing the creation of real-name accounts for institutions, starting with non-profits in Q2 2025.
In South Korea, real-name accounts are required for crypto investments, with only the accounts that have completed this verification under the Specified Financial Transaction Information Act being allowed to invest in digital assets. Nonetheless, the FSC had guided banks not to issue these accounts to corporations, limiting institutional crypto trading despite the absence of legal barriers or official bans.
As Dunamu revealed, World Vision was able to connect its K Bank corporate account to its Upbit account and successfully sold the Ethereum received as donations three months ago through the exchange’s KRW market.
Dunamu and the non-profit conducted a digital assets donation campaign in March, targeting Upbit users to purchase school uniforms, backpacks, and other essential items needed for the new school year for vulnerable teenagers who struggle to afford them.
Upbit’s parent company revealed its plan to continue supporting non-profit organizations to sell their digital assets received as donations while “adhering to guidelines established by financial authorities and the industry to establish a healthy virtual asset donation culture.”
Additionally, it announced it is preparing for the second phase of FSC’s roadmap, where qualified publicly traded companies and professional investors will be allowed to access the digital asset market in Q3 2025.
A New Era For Digital Assets?
This key development for the South Korean crypto industry will be followed by the June 3 snap presidential election to replace impeached president Yoon Suk-yeol, who attempted to declare martial law in December 2024.
Despite the outcome, digital asset investors in the country are expected to benefit, as the two major candidates vowed to implement industry-friendly policies to capture the nearly 18 million people who invest in digital assets in South Korea.
As reported by Bitcoinist, the People Power Party (PPP) candidate, Kim Moon-soo, announced he will allow spot crypto Exchange-Traded Funds (ETFs) if he wins. Kim vowed to push for approval of digital asset-based investment products and other financial policies to increase the wealth accumulation of the middle class.
Kim’s camp cited the increasing number of digital asset investors in the younger generations as a decisive factor for incorporating spot ETFs and the institutionalization of digital assets into the pledges’ list.
Meanwhile, the Democratic Party of Korea (DPK) candidate, Lee Jae-myung, also pledged to introduce spot crypto ETFs and lower digital assets transaction taxes in the country.
Lee promised to “create a safe virtual asset investment environment by establishing an integrated surveillance system” and “expand the cryptocurrency market while simultaneously strengthening investor protection.”
Ethereum's performance in the one-week chart. Source: ETHUSDT on TradingView
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