South Korea has recorded its first institutional cryptocurrency sale since partially lifting its ban on institutional crypto trading.

On June 1, 2025 humanitarian group World Vision Korea sold 0.55 ETH, valued at US$1,396.50, on the Upbit exchange.

The transaction was confirmed by Dunamu, the parent company of Upbit.

This follows an announcement from South Korea’s Financial Services Commission (FSC) that qualified non-profits and registered crypto exchanges could begin selling crypto as of June 1, 2025.

🔗 Source: The Block

🧠 Food for thought

1️⃣ South Korea’s gradual approach follows global regulatory evolution

South Korea’s phased lifting of the institutional crypto ban follows a pattern of regulatory maturation seen in other major markets, moving from initial skepticism to cautious integration.

The country’s decision to allow non-profits and exchanges to sell crypto holdings first, before extending permissions to public companies in late 2025, demonstrates a deliberate risk-management approach that contrasts with earlier regulatory volatility.

This measured rollout addresses the historical market sensitivity to Korean regulations, as evidenced by Bitcoin’s $1,000 price drop in December 2017 following a single regulatory announcement 1.

South Korea’s new Virtual Asset Users Protection Act enhances transparency requirements while creating pathways for institutional participation, positioning the country among jurisdictions like the EU that are developing comprehensive frameworks 2.

The approach balances concerns about market stability with growing recognition of crypto assets’ legitimacy, reflecting a broader global shift from outright prohibition toward managed integration.

2️⃣ South Korea’s outsized crypto influence persists despite restrictions

Despite previous regulatory constraints, South Korea has maintained disproportionate influence in global crypto markets, with the country once accounting for 30% of worldwide cryptocurrency trading despite having less than 1% of the global population 3.

This outsized market role created the “Kimchi Premium” phenomenon, where cryptocurrencies traded at significantly higher prices on Korean exchanges than elsewhere—sometimes exceeding 50% during peak periods 4.

The cultural context supports this exceptional adoption, with approximately 30% of salaried workers owning cryptocurrencies and a population already comfortable with digital goods and transactions 3.