According to The Block, several major securities companies in South Korea have temporarily suspended their brokerage services for Bitcoin spot ETFs, including ETFs from Canada and Germany, as a precautionary measure following a warning issued by the country’s financial regulator. The Financial Services Commission (FSC) of South Korea stated in today’s announcement that domestic securities companies providing brokerage services for Bitcoin spot ETFs listed overseas may violate the government’s existing position on virtual assets and capital market laws. This notice may be a reaction to the approval of Bitcoin spot ETFs in the United States. According to local media Dailian, companies suspending such ETF trading include the securities division of Samsung Group and Mirae Asset Securities. Mirae Asset Securities confirmed to The Block that the company, along with several others, has stopped new transactions of foreign Bitcoin spot ETFs on its platform. A spokesperson for Mirae Asset Securities mentioned that the FSC’s announcement is the primary reason for the trading suspension, and added that local brokers are concerned that existing foreign Bitcoin ETF products may be interpreted as illegal. Foreign Bitcoin futures ETFs were not mentioned in the FSC’s warning and seem to continue trading on multiple platforms. The spokesperson for Mirae Asset stated, “Stopping (Bitcoin futures) ETFs has not been discussed yet.” Meanwhile, the FSC has left room for further discussion in its announcement. The regulatory body noted that as the country continues to formulate regulations on cryptocurrencies, it plans to further study this issue.
