JOON HYOUNG LEE

Japanese cryptocurrency custody firm Komainu has raised $75 million (approximately 110 billion KRW) in funding. According to Bloomberg on the 16th, Komainu recently secured $75 million in investment from Blockstream Capital Partners. Komainu will receive the entire investment in Bitcoin (BTC). Komainu is a company established through a joint venture between Japan's major financial group Nomura and virtual asset management firm CoinShares. With this investment, Adam Back, CEO of Blockstream, will join the Komainu board of directors.

Global crypto asset manager Bitwise announced on the 16th that "some governments are considering investing in a Bitcoin (BTC) Exchange-Traded Fund (ETF)." Hunter Horsley, CEO of Bitwise, stated on X that "today, we provided information to a government that inquired about a Bitcoin ETF," adding that "the government is considering converting part of its overseas bond investments into Bitcoin." He further mentioned, "Bitcoin is entering a new phase."

Robert Kiyosaki (pictured) predicted on the 16th that the price of Bitcoin (BTC) will reach $250,000 this year. Kiyosaki stated on X that day, "Bitcoin has surpassed $100,000," and "I predict (Bitcoin's price) will reach $250,000 this year." He added, "I am buying more (Bitcoin)." Kiyosaki is the author of the global bestseller 'Rich Dad Poor Dad.' He recently commented on the decline in Bitcoin, calling it "good news" and indicating that it means "it's on sale."

Brad Garlinghouse, CEO of Ripple, sharply criticized the U.S. Securities and Exchange Commission (SEC) on the 16th. CEO Garlinghouse stated on X that day, "One definition of insanity is doing the same thing over and over and expecting different results," adding, "Gary Gensler's SEC is thoroughly practicing this." Gensler, the current SEC Chairman, will resign on the 20th when U.S. President-elect Donald Trump takes office. Garlinghouse's remarks are interpreted as being in consideration of the SEC's appeal against the first trial ruling on Ripple. On the 15th (local time), the SEC submitted a preparatory brief for an appeal against the first trial ruling on Ripple to the U.S. court. Previously, in August last year, a U.S. court ruled that Ripple must pay a fine of $125 million. Ripple expects the legal dispute with the SEC to be resolved under the second Trump administration. Stuart Alderoty, CLO of Ripple, stated on X that day, "The SEC's preparatory brief for the appeal is merely a rehash of already failed arguments," and claimed, "It is likely to be discarded in the next administration."

Global pension funds have been expanding their cryptocurrency investments following last year's 'Bitcoin (BTC) rally'. The Financial Times reported on the 16th that "pension funds are attempting to purchase Bitcoin," adding that "this shows that even in traditional financial sectors, it is becoming difficult to ignore the high potential returns of cryptocurrencies." It is interpreted that the election of Donald Trump as the President of the United States has been a major factor in pension funds' cryptocurrency investments. Matt Scott, a consultant at the global consulting firm Mercer, which advises UK pension funds, stated, "Inquiries related to cryptocurrencies have surged since the U.S. presidential election," and "trust managers do not prefer to be completely unaware of promising asset classes such as cryptocurrencies." The Financial Times noted that most pension funds are investing in Bitcoin and Ethereum spot exchange-traded funds (ETFs) approved in the U.S. last year. The Wisconsin Investment Board already held the 12th largest stake in BlackRock's Bitcoin ETF as of the end of September last year. Michigan holds the 6th largest stake in Grayscale's Ethereum ETF.

Global digital asset management firm HashKey has projected that the price of Bitcoin (BTC) could surpass $300,000 this year. According to Decrypt on the 16th, HashKey Group made this analysis in their 'Top 10 Market Outlook for 2025' report released the previous day (15th). The report was compiled after conducting a survey of approximately 50,000 people. HashKey first analyzed that Bitcoin is likely to establish itself as 'digital gold' this year, surpassing $300,000. They predicted that the price of Ethereum (ETH) could exceed $8,000 by the end of this year. Xiaopeng, CEO of HashKey Group, stated, "The cryptocurrency market is on the brink of explosive growth." They foresee the total market size of the cryptocurrency market reaching $10 trillion by the end of this year. According to the virtual asset analysis platform CoinGecko, the current total market capitalization of cryptocurrencies is about $3.64 trillion. This suggests that the cryptocurrency market could grow nearly threefold this year alone. The main growth drivers of the cryptocurrency market were identified as Security Token Offerings (STO), Exchange-Traded Funds (ETF), and Central Bank Digital Currencies (CBDC). HashKey predicted that these key growth drivers, such as STO and ETF, would inject $3 trillion of new capital into the cryptocurrency market this year.

An analysis suggests that Bitcoin (BTC) could soon reach an all-time high. Matt Mena, a cryptocurrency research strategist at asset management firm 21Shares, stated in an interview with The Block on the 15th (local time) that "a combination of positive inflation indicators and policy expectations ahead of Trump's inauguration is laying the foundation for a sustained rally across global markets." He noted that "risk assets like Bitcoin are preparing to break all-time highs." Mena focused on last month's US Consumer Price Index (CPI). Last month's US core CPI was 3.2%, 0.1 percentage points below the market expectation of 3.3%. Mena said, "The December CPI removed the last macroeconomic barrier that kept Bitcoin below $100,000 before Trump's inauguration," adding that "the likelihood of a dovish shift by the Fed has increased."

According to the top gainers on the Token Mindshare (a metric quantifying the influence of specific tokens in the crypto market) of the AI-based Web3 search platform Kaito, the top 5 cryptocurrency-related keywords currently attracting the most interest as of the 16th are Ripple, Jupiter (JUP), Virtual Protocol (VIRTUAL), Bitcoin (BTC), and Tether (USDT). Ripple drew attention as the U.S. Securities and Exchange Commission (SEC) submitted appeal preparation documents regarding its legal dispute with Ripple on the 15th (local time). In this regard, Stuart Alderoty, Ripple's Chief Legal Officer (CLO), stated on X, "The SEC's appeal preparation documents are merely insisting on a failed logic," adding, "It is likely to be discarded when the Trump administration comes into power." Ripple's price surpassed $3 on this day. It is the first time Ripple's price has exceeded $3 in about 7 years since 2018. Jupiter attracted attention as the airdrop claim checker opened on the 15th. The Jupiter airdrop currently underway involves 700 million tokens, amounting to $581 million (approximately 850 billion KRW). As of 1:35 PM on this day, Jupiter is trading at $0.8081 on CoinMarketCap, up 0.52% from the previous day. Bitcoin seems to have increased mentions online following the announcement of U.S. inflation indicators. The core Consumer Price Index (CPI) announced by the U.S. Department of Labor on the 15th (local time) was 3.2%, 0.1 percentage points below the market expectation of 3.3%. While inflation concerns have eased, U.S. Treasury yields have fallen, stimulating buying sentiment in cryptocurrencies. Consequently, Bitcoin surpassed $100,000 this morning. Virtual Protocol has gained attention as the AI agent market has recently surged. According to the '2024 Annual Cryptocurrency Industry Report' released by CoinGecko on the 14th, the market capitalization of AI agents increased more than threefold from $4.8 billion in October last year to $15.5 billion in December. CoinGecko stated in the report, "We can imagine a future where AI agents revolutionize content production on social media and play an essential role in various industries and platforms." Tether gained attention as its issuer, Tether Holdings, announced plans to relocate its headquarters to El Salvador. Paolo Ardoino, CEO of Tether Holdings, revealed in a recent Reuters interview that he and the management plan to move their residences to El Salvador. El Salvador is the first country in the world to adopt Bitcoin as legal tender.

According to the X account 'Trader T', which tracks cryptocurrency fund flows in the United States, there was a net inflow of $754.77 million (approximately 1.1 trillion won) into US Bitcoin spot ETFs on the 15th. This marks a shift to net inflow for the first time in about ten days since the 7th of this month. Specifically, Fidelity's FBTC alone saw a net inflow of $463.10 million. Additionally, Ark Invest's ARKB received $138.81 million, Grayscale's GBTC $50.54 million, and BlackRock's IBIT $31.59 million. No ETFs recorded net outflows.

Global on-chain analysis platform Santiment revealed on the 16th that "whales are accumulating Bitcoin (BTC)." Santiment stated in its report that "the accumulation of wallets holding more than 10 Bitcoins seems to have resumed," adding that this is a "very positive signal following the sudden (price) stagnation in the latter part of last month and the first week of this month." It also hinted at the possibility of a rally. Santiment noted, "The number of non-empty wallets has decreased over the past six weeks," explaining that "this is because small individual investors sold coins to realize profits and time the peak." It added, "In Bitcoin's history, there have been many cases where whales accumulated coins sold by individual investors during such wallet declines, leading to a major bull market."

It was observed that open interest surged on the global cryptocurrency exchange Binance following the announcement of the US Consumer Price Index (CPI). CryptoQuant author Burakkesmeci stated on the 16th, "The first US inflation indicator of the year was released on the 15th," and "Binance's open interest surged by 3.3% to reach $10.96 billion just two hours after the inflation indicator announcement." He noted, "This is an increase of about $500 million," and "It indicates that investors' confidence in the (cryptocurrency) market is growing." He also suggested the possibility of further price increases for cryptocurrencies like Bitcoin (BTC). He said, "The surge in Binance's open interest clearly shows the market's positive reaction to the US inflation indicator," and "The total open interest reaching $10.96 billion indicates that a bullish sentiment is forming across both the spot and futures markets." He added, "The simultaneous movement of the spot and futures markets signals an increasing risk appetite in the market," and "There is a possibility that the upward trend will continue."

World Liberty Financial (WLFI) has reportedly transferred over $60 million worth of Ethereum in the past 24 hours. World Liberty Financial is a cryptocurrency project led by the family of Donald Trump, the President-elect of the United States. On the 14th (local time), The Block reported this information citing data from the on-chain analysis platform Arkham Intelligence. Specifically, World Liberty Financial distributed and transferred Ethereum worth $61.4 million (approximately 90 billion KRW) to various wallets in the past 24 hours. World Liberty Financial explained that this Ethereum transfer is "part of financial management." Through X, World Liberty Financial stated, "We have not sold tokens," and "We are merely reallocating assets for general business purposes." They added, "Such measures are for safe and efficient financial management."

Global investment bank (IB) JP Morgan predicts that if the exchange-traded funds (ETFs) for Ripple and Solana (SOL) are approved, they could attract $13.6 billion (approximately 20 trillion won) in the first year alone. According to The Block on the 14th (local time), JP Morgan recently analyzed this in a research note. JP Morgan expects that if the Ripple and Solana ETFs are approved, $13.6 billion will flow in within a minimum of 6 months to a maximum of 12 months. Specifically, it is analyzed that $2.7 billion to $5.2 billion could flow into the Solana ETF, and $4.3 billion to $8.4 billion into the Ripple ETF. JP Morgan explained, "Apart from Bitcoin (BTC) and Ethereum (ETH), cryptocurrency ETFs have been slow or stalled due to unclear regulations by the U.S. Securities and Exchange Commission (SEC)," adding that "the new SEC chairman replacing the Trump Administration presents new opportunities for cryptocurrencies." However, JP Morgan pointed out that the impact of the Ripple and Solana ETFs might be limited. It explained that the Ripple·Solana ETFs might not have as much influence as the 'first-generation' cryptocurrency ETFs like the Bitcoin ETF and Ethereum ETF in the financial industry. JP Morgan stated, "(Ripple·Solana ETFs) will have limited demand compared to Bitcoin and Ethereum products."

Eric Trump, the second son of U.S. President-elect Donald Trump, followed the official Sui (SUI) X account on the 15th. In a recent interview, he revealed that he holds Bitcoin (BTC), Ethereum (ETH), Solana (SOL), and Sui.

Thailand is considering the approval of a Bitcoin (BTC) spot Exchange-Traded Fund (ETF). Puranong Butsaratrakun, Secretary-General of the Thai Securities and Exchange Commission (SEC), stated in an interview with Bloomberg on the 14th (local time) that they are "considering allowing investments in overseas Bitcoin ETFs." Previously, Thailand's asset management company, One Asset Management, launched a 'fund of funds' investing in overseas Bitcoin ETFs in June last year. However, financial products that directly invest in Bitcoin have not yet been approved in Thailand. Secretary-General Butsaratrakun emphasized the need to follow global trends. Hong Kong and Singapore are already introducing pro-virtual asset policies to establish themselves as virtual asset hubs in the Asia-Pacific region. Butsaratrakun stated, "Whether we like it or not, we must keep up with the global trend of increasing virtual asset adoption," adding that "investors in the virtual asset sector should have more choices with appropriate protection." The Thai SEC is also considering approving the issuance of stablecoins. Secretary-General Butsaratrakun mentioned, "We are also considering allowing local companies with high credit ratings to issue stablecoins backed by their own bonds," noting that "this will help expand market accessibility for corporate bonds and reduce costs."

It appears that whales are purchasing Ripple in large quantities. The cryptocurrency analysis firm Santiment stated on the 15th via X, "Ripple has reached $2.69 for the first time since the 17th of last month," adding, "This price is supported by the continuous large-scale accumulation by whales holding between 1 million and 10 million Ripple." Santiment noted, "These whales have purchased $3.8 billion worth of Ripple since November 12 last year," and "The amount of Ripple held by whales has increased by more than 37% compared to two months ago." The background of Ripple's surge seems to be the anticipation of an ETF listing. Sean Dawson, head of research at the on-chain derivatives exchange Derive, mentioned in an interview with Cointelegraph that Ripple's bullish trend "might be due to the possibility of a Ripple ETF being listed within the year." Expectations for the resolution of Ripple's legal risks are also growing. Dawson predicted, "The legal dispute between Ripple and the SEC might end favorably for Ripple this year."

Last year, hedge funds based on virtual assets recorded double-digit returns. On the 15th, Bloomberg reported this by citing VisionTrack data from the virtual asset management company Galaxy Digital. Specifically, the VisionTrack Composite Index, which tracks the returns of 130 virtual asset-focused hedge funds, rose by 40% last year. This means that most hedge funds based on virtual assets achieved double-digit returns last year. Galaxy Digital's 'Alpha Liquid Fund' recorded a return of about 77% last year. The 'ProChain Master Fund' managed by the virtual asset management company ProChain Capital also recorded a return of about 70% last year. Galaxy Digital stated, "(Virtual asset funds) experienced a decline of 20-30% in the spring and summer of last year but ended with a strong upward trend at the end of the year." They added, "Funds that failed to properly respond to the upward trend starting in November lagged behind," and "only the top funds recorded returns exceeding the rise of Bitcoin (BTC)."

An analysis has emerged suggesting that Bitcoin prices will continue to remain range-bound until mid-March this year. According to Cointelegraph on the 15th, Markus Thielen, head of research at the U.S. virtual asset analysis firm 10x Research, stated in a report on the 14th (local time) that "the market momentum is weak, making it highly likely that Bitcoin will maintain its range-bound status until mid-March." However, Thielen also mentioned the possibility of a Bitcoin breakout (an event where an asset enters a new price range). Thielen is particularly focused on the Federal Open Market Committee (FOMC) meeting scheduled for the 29th of this month. He noted, "Bitcoin prices could break out ahead of the FOMC meeting," adding, "(However) this breakout could be either an upward or downward movement from the current level." He further added, "If inflation indicators come out lower than expected, it could trigger a Bitcoin rally."

Last year's Non-Fungible Token (NFT) trading volume recorded the lowest since 2020. According to Cointelegraph on the 15th, the blockchain analysis platform DappRadar released a report on the 14th (local time) containing this information. According to the report, last year's NFT trading volume was $13.7 billion, a 19% decrease compared to the previous year. Last year's NFT sales were 50 million, down 18% from a year ago. DappRadar stated in the report, "2024 marks the worst performance for the NFT market since 2020." The NFT with the highest trading volume last year was Pudgy Penguins. Last year, the trading volume of Pudgy Penguins NFTs was $786 million, a 140% increase compared to the previous year. However, during the same period, the number of sales decreased by 44%. DappRadar noted, "NFTs that can be utilized in the real world are still showing strong performance." Meanwhile, the highest NFT trading volume was recorded in 2022. At that time, the trading volume was $57.2 billion, with 121.7 million sales.

The US Ethereum (ETH) spot exchange-traded fund (ETF) has switched to a net inflow after 5 trading days. According to Trader T, a US virtual asset fund flow tracking X account, on the 15th, the US Ethereum spot ETF saw a net inflow of $1.15 million (approximately 1.7 billion KRW) the previous day (14th). This marks a switch to net inflow after 5 trading days. Specifically, there was a net inflow only in Bitwise ETHW. There were no inflows or outflows in the other Ethereum spot ETFs.

Over $200 million has been withdrawn from BlackRock's Bitcoin (BTC) spot Exchange Traded Fund (ETF). According to the X account of Trader T, which tracks U.S. virtual asset fund flows, $219 million (approximately 320 billion won) was withdrawn from BlackRock's spot ETF, IBIT, on the 14th. This is the second largest outflow in history. On the same day, a total of $210 million was net inflowed into all U.S. Bitcoin spot ETFs. Specifically, $10.2 million was net inflowed into WisdomTree's BTCW, and $5.5 million into VanEck's HODL. Meanwhile, $8.9 million was net outflowed from Bitwise's BITB.

The meme coin trend has become more than just a fad; it has established itself as a satire and mockery of the excessive virtual asset regulations by the United States Securities and Exchange Commission (SEC). The excessive regulations based on the 'securities' criteria presented by the SEC have ironically triggered the meme coin craze, which lacks practical utility. Let's take a closer look at how coins with images of dogs or frogs have formed a market worth $100 billion. "The More You Regulate, The More It Gathers"... Behind the Meme Coin Craze 'Overregulation' [Hankyung Koala] History of Meme Coins After the downturn in 2022, Bitcoin began to rise in 2023. With expectations of ETF approval, Bitcoin prices surged, and institutional finance focused its attention. However, within the crypto ecosystem, another movement was happening: the emergence of 'meme coins.' In a situation where altcoins were sluggish amidst Bitcoin's solo run, 'web3 natives' known as 'degens' created and traded meme coins without business plans or practical utility, establishing their own unique world. The origin of meme coins is Dogecoin (DOGE), created in 2013 based on Bitcoin's source. Developers Billy Markus and Jackson Palmer reportedly created Dogecoin to make a cryptocurrency that anyone could easily access, moving away from the complexity of Bitcoin. In 2020, Shiba Inu (SHIB), similar to Dogecoin but using a different dog as its logo, emerged. Since the logos of these two coins originated from internet memes, people began calling them meme coins. In 2023, with the launch of PepeCoin (PEPE), which borrowed the internet meme 'Pepe the Frog,' the number of meme coins exploded. The meme coin trend was particularly prominent on the Solana network, known for its speed and low fees. There is no clear legal or technical definition of meme coins, but most coins recognized as meme coins lack a business plan, utility, an issuer or have anonymous issuers, no issuer holdings (so-called 'foundation holdings'), and borrow names or logos from internet memes. In other words, meme coins have unclear issuing entities, no practical use, and are not clearly defined as to 'what they do,' but they use provocative logos and names. The astonishing fact is that the total market capitalization of these playfully issued meme coins has exceeded $100 billion. While meme coin trading mainly took place on decentralized exchanges (DEX), they have recently been listed on major centralized exchanges, drawing social attention and criticism. So why have 'useless' coins become so popular? Causes of the Meme Coin Craze Every phenomenon has its causes. The fundamental cause of the meme coin craze is the SEC's excessive regulation. The SEC considers most virtual assets, except Bitcoin, as 'securities,' causing legal uncertainty across the industry by suing numerous virtual asset-related companies. The SEC's argument is based on the Howey Test. According to the Howey Test, if there is an investment of money in a common enterprise with an expectation of profit from the efforts of others, it is considered a 'security.' The SEC attempted to classify coins as 'unregistered securities' if their prices rose through the business activities of coin issuers and sought to punish issuers and traders for violating U.S. securities laws. This significantly hindered the business development of coin-issuing companies. As a result, despite the launch of numerous coins, there are hardly any widely used coins in real life, except for stablecoins. This is because only a few companies can withstand lawsuits from U.S. government agencies. Most issuers reduced or abandoned their businesses due to litigation risks, and coins ambitiously launched failed to achieve significant business results beyond technical achievements. If the market had grown normally, coins would have been valued based on business performance or utility, but due to the SEC's excessive regulation, coin prices became heavily dependent on future expectations or market interest. The Ripple lawsuit had a significant impact worldwide. As the legal risks associated with Initial Coin Offerings (ICOs) increased due to the Ripple lawsuit, global market fundraising through ICOs plummeted, and crypto venture capital (VC) took its place. Instead of the public participating in ICOs when coins are first issued, a few VCs became investors, leading to a phenomenon where coin prices plummeted after exchange listings due to large-scale cash-outs by VCs. Last year and the year before, many coins were designed with 'low float and high fully diluted value (FDV)' to facilitate VC exits (investment recovery). This created another structure where VCs dumped coins bought at low prices onto retail investors at high prices after exchange listings, similar to the 'foundation holdings dumping' frequently occurring on domestic exchanges. The meme coin craze arose in this context. The SEC created an environment where coin prices were determined solely by expectations or interest rather than business performance, leading to the proliferation of coins with provocative names and logos without business plans or specified utility. The SEC attempted to punish issuers and traders together but did not regulate the behavior of VCs using their financial power to gain unfair profits in the market. Therefore, many meme coins adopted a 'fair launch' approach, distributing most of the coins to the market immediately upon issuance without the issuer holding a large amount. This stemmed from a backlash against the practice of VCs using retail investors as a means of liquidity and the lack of investor protection measures. Implications of the Meme Coin Craze The fact that tens of thousands of 'useless' meme coins are issued and traded daily, with the surviving coins' total market capitalization exceeding $100 billion, is a satire and mockery of the SEC's regulatory failure. Governments worldwide should have established order in the rapidly growing market and protected investors rather than making moral judgments that 'coins are bad.' However, the SEC attempted to 'suffocate' all coins except Bitcoin by considering them 'unregistered securities,' and other countries followed the SEC's direction. And that attempt ended in failure. While governments failed to establish market order, powerful forces with capital exploited investors' pockets. The 'Kimchi coin foundation holdings dumping' frequently occurring on domestic exchanges, the recent intensification of 'pump and dump volatility,' and the cashing out of 'low float and high FDV' coins after listing are all in the same context. Insiders are profiting from retail investors in a market with inadequate investor protection measures. The meme coin craze is a message from the market to financial authorities worldwide. The SEC's approach of considering coins as 'bad' and trying to suppress them was wrong and failed. The coin market is still growing, and the countless dog, cat, and frog coins pouring in daily hope for reasonable regulation to establish market order, protect investors, and nurture sound business entities. When Turkey's Prime Minister Erdogan blocked access to Twitter in 2014, Turkish citizens learned to use VPNs to access Twitter, and two weeks later, access was restored, resulting in an increase in Twitter usage in Turkey. Reporters Without Borders opened an 'Uncensored Library' within the Minecraft game for countries like Egypt, Mexico, Russia, Saudi Arabia, and Vietnam, allowing access to articles censored by their respective national media. Unreasonable regulations fail. The market always finds an answer. Financial authorities should take the implications of the meme coin craze seriously. 'Crypto President' Trump's second term begins in five days. Kim Min-seung, Head of Korbit Research Center... He is a founding member and head of the Korbit Research Center. He works to simplify complex events and concepts in the blockchain and virtual asset ecosystem and help people with different perspectives understand each other. He has experience in blockchain project strategic planning and software development. ▶This article is an external contributor column introduced to provide various perspectives to cryptocurrency investment newsletter subscribers and does not reflect the views of the Korea Economic Daily. Jo Mi-hyun, Reporter mwise@hankyung.com

Global crypto asset management firm Bitwise predicts a surge in companies holding Bitcoin (BTC) this year. According to The Block on the 15th, Matt Hougan, Chief Investment Officer (CIO) of Bitwise, stated in a letter to investors on the 14th (local time) that "the Bitcoin purchasing strategy of companies like MicroStrategy is an 'overlooked mega trend.'" He added, "I expect hundreds of companies to start holding Bitcoin over the next 12 to 18 months," and "such purchases will lift the entire Bitcoin market." MicroStrategy, a U.S. software company, has been buying Bitcoin since 2020. It is known to currently hold Bitcoin worth 63 trillion won. Hougan noted, "Most investors tend to view MicroStrategy's Bitcoin financial strategy as a one-off case," and analyzed that "many companies are likely to follow suit." Hougan emphasized that over 70 publicly listed companies already hold Bitcoin. He mentioned, "Currently, Meta is considering a shareholder proposal to add Bitcoin to its financial strategy," and "this is 20 times the scale of MicroStrategy."

The trading of virtual assets by public officials will be restricted. This is a measure to enhance the anti-corruption system within the public sector. The National Rights Commission announced on the 14th its '2025 Major Business Promotion Plan' which includes this content. Specifically, the commission plans to add virtual assets to the list of restricted items in the code of conduct for public officials, which prohibits transactions using job-related information. This means public officials will not be able to invest in virtual assets using information acquired through their duties. The commission also plans to revise the Conflict of Interest Prevention Act on its third anniversary this year. A representative from the commission stated, "We will enhance the effectiveness of anti-corruption laws by raising awareness within the public sector." Yoo Cheol-hwan, the chairman of the commission, said, "We will fundamentally resolve structural factors causing public difficulties through institutional improvements and respond strictly to corruption and unfairness."

Recently, there has been an analysis suggesting that the reduction in dollar liquidity could lead Bitcoin (BTC) into an adjustment phase. The virtual asset analysis firm Matrixport stated on its official X account, "Global liquidity fluctuations may act as a headwind for Bitcoin," adding, "Historical data shows that liquidity changes tend to precede Bitcoin prices by about 13 weeks." Matrixport emphasized the possibility of a Bitcoin adjustment. Matrixport noted, "After Trump's re-election, the US dollar strengthened, reducing dollar liquidity," and "This suggests that Bitcoin may enter an adjustment phase in the short term." It further added, "(However) such an adjustment is expected to be temporary," because "the long-term outlook for Bitcoin remains positive."

An analysis suggests that the price of Ethereum (ETH) could rise to $12,000 this year. Sean Dawson, Head of Research at the decentralized finance (DeFi) protocol Derive, said in an interview with Cointelegraph on the 8th, "If Ethereum succeeds in the Pectra upgrade, it could reach $12,000 by the end of this year," adding that "the pro-crypto policies of the Trump administration's second term will support additional growth." The Ethereum Pectra upgrade is scheduled to take place in the first quarter of this year. If successful, Ethereum's efficiency and scalability will be improved. Dawson stated, "Ethereum needs to achieve widespread adoption of real-world assets (RWA), increased inflow of ETF funds, and expanded utilization in emerging fields such as AI agents." Dawson also mentioned the possibility of a price drop. He said, "In a 'bearish scenario,' the price of Ethereum could fall below $2,000," and "if the Ethereum spot ETF fails to attract institutional investors or is overshadowed by the Solana ETF, the price will decline." Meanwhile, Ethereum is trading at around $3,300 on CoinMarketCap as of today.

Starting this year, domestic corporations will be allowed to invest in virtual assets gradually. The Financial Services Commission announced on the 8th in its '2025 Major Business Promotion Plan' that it would consider a plan to gradually allow corporations to issue real-name accounts for virtual asset exchanges through discussions with the Virtual Asset Committee. Currently, under the Specific Financial Information Act, investments in virtual assets can be made using accounts that have completed real-name verification. Although there is no content in the current law that restricts the issuance of real-name accounts to corporations, financial authorities have guided banks not to issue real-name accounts to corporations. In this regard, the Financial Services Commission plans to prepare detailed measures to gradually allow the issuance of real-name accounts starting with non-profit corporations through the Virtual Asset Committee soon. The Virtual Asset Committee, launched last November, will hold its second meeting on the 15th of this month. The second phase of legislation on virtual assets, which includes regulations on issuance and distribution, is also being promoted. Kwon Dae-young, Secretary-General of the Financial Services Commission, explained, "Discussions are needed on how to create listing standards, how to handle stablecoins, and how to establish conduct rules for virtual asset exchanges," adding, "We will align with global regulations on the virtual asset market." The Financial Services Commission plans to amend the Specific Financial Information Act to introduce a major shareholder eligibility review system for virtual asset businesses and add social credit requirements to the review criteria. To protect virtual asset users, it will also promote improvements in self-regulation, such as supplementing review standards for meme coins. Advanced forensic equipment will be introduced to enhance investigations into unfair practices in virtual assets.

Decentralized exchange (DEX) HyperLiquid (HYPE) has addressed the recent controversy surrounding validators. HyperLiquid stated on its official X account on the 8th, "There have been some misunderstandings about validators recently," adding, "All validators earned their qualifications based on testnet performance." They further clarified, "Validator qualifications cannot be purchased with money," and added, "As the blockchain matures, the set of validators will gradually increase." Efforts towards decentralization were also emphasized. HyperLiquid announced, "A Foundation Delegation Program will be conducted to promote network decentralization," and stated, "HyperLiquid is constantly evolving and improving to bring all finance on-chain." Plans to open-source node code were also mentioned. HyperLiquid revealed, "Currently, the node code is private," and stated, "Open-sourcing is important, but like most projects, HyperLiquid will release the code when development reaches a stable state."