South Korea’s Mixed Stance on BTC Sparks Institutional Debate

The Bank of Korea has ruled out adding Bitcoin (BTC) to its foreign exchange reserves, citing concerns over high volatility and issues with meeting IMF guidelines. This decision comes as South Korea’s Financial Services Commission unveils plans to introduce comprehensive guidelines for institutional cryptocurrency investments by the third quarter of 2025—a move designed to unlock significant capital inflows. In contrast, the United States has taken a more bullish policy approach with President Trump’s executive order to establish a Strategic Bitcoin Reserve funded with seized assets. While BTC faces short‐term pressure from its exclusion by South Korea’s central bank, the upcoming institutional guidelines and the supportive stance in some international markets present potential for medium to long-term positive momentum, despite inherent volatility risks.