Bloomberg: South Korea Attempts to Halt Influx of Speculative Funds into US Bitcoin ETF.

According to BlockBeats news on January 12th, Bloomberg reported that South Korea is attempting to prevent a large amount of speculative funds from flowing into US spot Bitcoin ETFs. The country's securities regulatory agency, the Financial Services Commission (FSC), stated on Thursday that brokering such ETFs may violate the government's current position on virtual assets and their capital markets law. This statement has caused confusion among investors and led to a sharp drop in related stocks in early Friday trading, with Wizit Co.'s stock price plummeting 13% at one point. This move is the first major regulatory response following the approval of about a dozen Bitcoin ETFs that directly hold Bitcoin by the US Securities and Exchange Commission (SEC) earlier this week. South Korea is known for its enthusiasm for cryptocurrency, having passed a digital asset law last year to strengthen investor protection. Consumer protection has become even more of a concern after the token collapse caused by Do Kwon resulted in over $40 billion in losses. The FSC stated that it plans to further review digital asset rules in light of changes in overseas regulation.