South Korean lawmaker to propose bill allowing leverage in crypto sector

South Korean lawmaker Min Byoung-dug of the ruling Democratic Party plans to introduce a bill that would allow certain cryptocurrency businesses to offer credit or lend funds, potentially enabling leveraged trading, The Korea Economic Daily reported. The proposed digital asset basic act would permit such activity only for companies involved in digital asset trading, brokerage and custody. A spokesperson for Min’s office said the provision was added to eliminate legal ambiguity, as the absence of explicit rules could lead to assumptions that such practices are not allowed.