South Korea is moving toward reopening its crypto market to corporate participation after nearly a decade of restrictions, signaling a structural shift in how digital assets may be traded domestically. According to draft guidelines from the Financial Services Commission, listed companies and registered professional investor corporations would be allowed to invest corporate funds into crypto again, following a ban that has been in place since 2017. The framework is deliberately conservative, capping annual investments at 5% of a company’s equity and limiting eligible assets to the top 20 cryptocurrencies by market capitalization, with the inclusion of dollar-based stablecoins still under debate.

The proposal also introduces market structure safeguards, including rules on order execution and price limits, aimed at preventing sudden liquidity shocks as corporate money enters the market. While the opening is modest, the scale of corporate balance sheets means even small allocations could translate into meaningful spot demand for major assets like Bitcoin and Ethereum. At the same time, regulators are aware that allowing corporates in also means allowing them out, creating a new, policy-driven source of supply during periods of stress.

More broadly, the move reflects South Korea’s effort to modernize its financial market infrastructure and attract global capital, alongside initiatives such as extending foreign exchange trading hours. The ultimate impact on Bitcoin liquidity will depend on the final details of eligibility, asset selection, stablecoin treatment, and banking rails, which will determine whether this becomes a steady new source of institutional demand or a cautious pilot with limited market influence.