South Korea has been at the forefront when it comes to cryptocurrencies. South Korea has moved a step further towards legalizing Bitcoin. It seems like the government of South Korea is consistently evolving its opinion when it comes to Bitcoin. Recently, there are indications that South Korea will consider Bitcoin as a liquid asset. This will surely bring some momentum in most of the cryptocurrencies.
Bitcoin will be considered as a liquid asset
South Korea is one of the significant markets for the cryptocurrency. Any change in rules and regulations in cryptocurrency has a direct impact on the Bitcoin prices. This is the reason why the news that South Korea is making cryptocurrency trading more transparent is actually a positive for the cryptocurrency market.
Moreover, many investors were initially worried that South Korea will ban cryptocurrency trading. Instead, a move towards legalizing cryptocurrency trading is a huge positive. This is the reason why the consideration that South Korea is legalizing Bitcoin is huge positive news.
On the other hand, Japan is another country which has already legalized cryptocurrency. So South Korea will not have the privilege of being the first country to do so. Each and every news of legalization from significant markets will propel the cryptocurrency further. It will certainly increase the cryptocurrency trading volume as well. This news is positive for the cryptocurrency.
Moreover, many countries are waiting on the sidelines. They will create the legal framework based on the precedences. This is the reason why the news that South Korea will consider Bitcoin as a liquid asset is a huge positive.
Currently, however, there are plenty of grey areas when it comes to cryptocurrency. Any mood to regulate will bring in more credibility. With more credibility, institutional investors will also be able to step in. This will increase the size of the market. It will ultimately increase the demand for cryptocurrencies. As the demand of Bitcoin and other cryptocurrencies increase, the value of the cryptocurrencies could also increase.
This is the reason why any mood to legalize Bitcoin from South Korea could be a positive for Bitcoin prices as well. Finally, when the legal framework is enacted, investors will be able to easily invest in Bitcoin. It will certainly increase the business of the South Korean cryptocurrency exchanges. South Korea is such a large market, it will mean significant volume increase on a global level.