The rise of President Lee Jae-Myung at the highest office in South Korea marks the return of a left-wing populist with deep workers’ roots and daring plans for the integration of institutional cryptography.
Although Crypto was not directly mentioned in Lee’s inauguration speech on June 4 after the indictment of his predecessor, Yoon Suk Yeol, Lee now leads the country with a list of crypto promises made during his campaign.
Its administration should accelerate the integration of digital assets into the regulatory and financial systems of Korea on the back of the Democratic Party digital asset committee.
The lee boom of a factory teenager to a human rights lawyer has shaped his reputation as a reformist. After losing the 2022 elections, in which he campaigned on a universal basic income, he returned with revised promises focused on a “basic company”, advocating shorter and targeted work weeks.
Despite his victory, Lee begins his mandate under the shadow of the in progress controversies, including real estate scandals, allegal funding alleged for North Korea and a stab in 2024 that he survived.
President Lee supports crypto for a lot of money
Lee should supervise the main changes in cryptographic policy in South Korea, including the likely promulgation of the basic law on digital assets (DABA). The progress began under Yoon, which campaigned on it but could not see it because of its premature dismissal.
Recently, the Democratic Party has trained a digital asset committee led by the legislator Min Byoung-Dug, which aims to pass DABA through the National Assembly this year. Min, said in a recent local interview with the media that the bill will offer a legally recognized self -regulation organization, a stable approval system and clearer rules for cryptographic service providers.
Lee also defended the approval of the funds (ETF) in exchange for cryptocurrency (ETF), which are currently prohibited under the existing law, and allowing the National Pension Service to invest in digital assets. Regulatory discussions on FNB Crypto were already heating up before the elections, and the financial services committee launched a progressive strategy to bring institutional investors into the crypto. His main electoral rival, Kim Moon-Soo, supported the same initiatives.
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What distinguishes Lee’s Crypto policies is his proposal to launch a stable Won -based stable. A flashy stablecoin can trigger painful memories for South Korean investors who bet on a local failure of several billion dollars: the Terra and its algorithmic staboins. Lee’s stablecoin contrasts with Terra because he proposed a centralized currency supported by the Fiat consistent with global regulatory trends.
The head of the digital asset committee, Min, said that innovation should come from the private sector. He cited the example of the promotion of Won Stabins in Southeast Asia by taking advantage of K culture K: South Korean content like K-Pop and K-Dramas.
Lee expressed support for small and medium -sized enterprises and startups, in accordance with his story of the oppressed. He recommends revising the “One Exchange, One Bank” rule, which led to a monopolistic environment for national cryptography exchanges.
Diplomacy and plans of President Lee for North Korea
One of the main problems of South Korean voters weighs when choosing a president is their position on North Korea. Lee pushed to open communication channels for dialogues and peace talks with the North.
Pyongyang is a disruptive actor in the global cryptography space. It was linked to the greatest robbery of cryptocurrency in history, and its pirates sponsored by the state would have made free of the freelancers and candidates for infiltrating cryptographic companies – all to alternately finance its arms program.
Former President Yoon, a curator, adopted a hard approach from the north, reversing many diplomatic openings made under his predecessor Moon Jae-in, who led from 2017 to 2022.
Lee has focused on maintaining solid links with the United States and Japan while looking for better relations with China. The administration of Yoon was widely considered to have alienated Beijing. Meanwhile, Lee’s calls to “balanced diplomacy” attracted mixed reactions – considered by some as pragmatic, by others as a potential drift of traditional Western alliances from South Korea.
After Lee’s victory, Chinese President Xi Jinping promised to strengthen relations between the two nations.
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Lee will be under a microscope to keep his promise to relieve political instability. The controversial declaration of the Martial Act of Yoon before its indictment shocked the international community. He marked the second presidential dismissal of South Korea in less than a decade.
In response, Lee is committed to strengthening democratic institutions and preventing future abuse of power. His reform proposals include the separation of investigative and prosecution powers and to modify the Constitution to allow presidents to serve two four -year terms instead of a single five -year term.
The ongoing legal obstacles of the new president
Lee Rose as a populist foreigner and founded support by positioning herself against the elites of Korea and adopting the rhetoric of the working class. Its combative style, especially online, has won over the dissatisfied voters, but has aroused criticism to fuel a toxic political climate and promote the conspiracy reflection.
This same polarizing approach followed him in the courtroom. Lee’s political rise has been opened by a series of legal battles, with five major cases still in progress.
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Violation of election law: The Supreme Court judged that Lee had made false declarations during his presidential campaign in 2022. The case was referred to the High Court of Seoul, with a trial in pre -trial scheduled for June 18.
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Corruption costs: Prosecutors allege that, during his mandate as mayor of the city of Seongnam, Lee colluted with private promoters in a real estate project, resulting in profits but losses for the city. This trial is underway at the Central District Court of Seoul.
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Public funds abuse: While being governor of the province of Gyeonggi, Lee was accused of using public funds for personal expenses. This case is heard at the district court of Suwon.
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Transfer of illegal money to North Korea: Lee would have been an accomplice in the transfer of funds to North Korea in 2018, violating several laws, including the law on exchange transactions and the intercreen law on trade and cooperation. This trial is also at the district court in Suwon.
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Perjure subornation: Lee is accused of induced a witness to provide false testimonies during a 2019 trial. Although a lower court acquitted it, prosecutors have appealed and the case is currently before the High Court of Seoul.
The first case of President Lee is June 18
For the cryptography industry of South Korea, the presidency of Lee Jae-Myung is a long-awaited regulatory green light, signaling legitimacy, less strangles and a step beyond a culture first in compliance towards more in-depth integration with traditional finance.
Initiatives such as Spot Crypto ETF, exposure to pension funds and a Stablecoin based on Won all highlight one of the most active retail crypto markets in the world to accelerate efforts to integrate the institutional sector which has been on the sidelines for a long time.
Many of these policies were already in motion before Lee’s campaign and were supported by the two major parties. Consequently, investors expected a friendly administration in crypto, regardless of the result of the elections.
Lee’s inauguration of 4 inauguration did not directly mention the crypto or blockchain, but subtle references to AI and emerging technologies suggest that the crypto can fall into the wider umbrella of the FinTech and digital infrastructure.
However, Lee comes into office under the cloud of legal battles in progress. The most closely watched is the new trial to violate the law on the election of civil servants, the first hearing scheduled for June 18.
It is not clear if the trials will continue as planned. A key legal question is whether article 84 of the Constitution – which grants immunity the president of criminal proceedings – also applies to trials already underway before the elections.
As it is the first time that a South Korean president took office while he was already faced with criminal charges, legal experts remain divided.
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