South Korea’s Opposition Party Wins Parliamentary Vote, What It Means for Bitcoin and Crypto Markets

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The Democratic Party (DPK) of South Korea’s opposition won a large number of seats in the parliamentary elections. This doesn’t necessarily mean President Yoon Suk Yeol will be removed, but signs suggest his term may only last three years. Additionally, following the DPK’s victory, Han Dong-hoon and Han Duck-soo stepped down as leader of the People Power Party (PPP) and Prime Minister respectively.

Significantly, the South Korean opposition coalition secured 192 out of 300 seats in the National Assembly. With 200 seats under their control, the president’s impeachment would be initiated. However, for the remaining three years of the current presidency, the challenging task begins as the opposition parties now have the power to lead Parliament.

What South Korea’s Opposition Win Means for Bitcoin and Crypto Assets

South Korea is among the advanced nations rapidly embracing the web3 sector and digital currencies, with over 6 million residents using platforms like Bitcoin. This mass adoption played a substantial role in shaping the recent parliamentary elections.

Additionally, representatives from both major political parties pledged incentives for the crypto sector should they win seats in the country’s parliament.

The Progressive Party (PPP) promised to postpone a digital asset tax and create a favorable environment for investors in the emerging sector. In contrast, the Democratic Party of South Korea intended to enable local and international access to Bitcoin ETFs for investors under its platform.

Breaking News: The Democratic Party, known for its pro-Bitcoin stance, has emerged victorious in South Korea’s general election and will form the new government.
DP: “We’re going to allow the ETFs, domestic or overseas.”
More than 6 million South Koreans — over 10% of the population own Bitcoin or crypto.
— Bitcoin Archive (@BTC_Archive) April 11, 2024

Significantly, the Democratic Party in South Korea must undertake a significant revision of the securities regulatory body, which earlier stated that facilitating Bitcoins spot Exchange Traded Funds (ETFs) is against the law. This recommendation comes amid data revealing that over $200 million worth of MicroStrategy Inc (NASDAQ: MSTR) was bought by South Korean investors. Furthermore, an increasing number of investors from South Korea have been engaging in trading crypto futures ETFs.

In the meantime, the president and the National Assembly will continue to face off, each waiting to see if the other will comply with their respective rules.

Market Picture

The overall perspective for the cryptocurrency market remains positive, as we approach the Bitcoin halving event in 2024 which is only about 9 days away. The ongoing struggle of the US to control dollar inflation is an indication of economic instability on a global scale. Notably, countries like El Salvador are turning to Bitcoin as a means to protect themselves against inflation and geopolitical uncertainties by buying it.

Previously reported by Coinspeaker, the US Federal Reserve expresses confidence that rates may be reduced later in 2022, with elections approaching. Simultaneously, Bitcoin’s price aims to surge past the resistance level between $71,000 and $72,000.

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2024-04-11 17:42