Lee Jae-myung Elected President of South Korea, Vows to Embrace Crypto and Financial Reform

Lee Jae-myung Elected President of South Korea, Vows to Embrace Crypto and Financial Reform

Lee Jae-myung has been officially sworn in as the new President of South Korea following a resounding victory in a snap election held on June 3. Representing the center-left Democratic Party, Lee secured more than 49% of the vote, defeating conservative People Power Party candidate Kim Moon-soo, who garnered 41%, according to near-complete results from the National Election Commission.

The election, triggered just six months after former President Yoon Suk-yeol declared martial law, marked a dramatic chapter in South Korean politics. With voter turnout reaching nearly 80% of the country’s 44.4 million eligible voters—the highest participation rate since 1997—the election underscored public demand for change.

Lee’s campaign drew widespread attention for its forward-thinking stance on cryptocurrency and digital finance. Among his most notable pledges are enabling South Korea’s $884 billion national pension fund to invest in Bitcoin and other cryptocurrencies, approving Bitcoin exchange-traded funds (ETFs), and developing a Korean won-backed stablecoin to modernize domestic finance and prevent capital flight.

“We must build a won-based stablecoin ecosystem to safeguard national wealth and keep it from flowing overseas,” Lee stated during a policy forum in May.

Support for digital asset reform wasn’t exclusive to Lee—his rival Kim also advocated for regulatory easing and the introduction of spot crypto ETFs. However, Lee’s broader economic agenda and message of political stability appeared to resonate more deeply with voters.

In the immediate aftermath of his victory, Bitcoin prices on South Korean exchanges Bithumb and Upbit surged to 149 million won (approximately $108,480), reflecting a nearly 2% premium compared to global markets—an indicator of investor optimism dubbed the “kimchi premium.”

Beyond cryptocurrency, President Lee inherits a country grappling with rising living costs, complex trade talks with the United States, and heightened regional tensions. In his victory speech in Seoul, he pledged to revitalize the economy through investments in artificial intelligence and national defense, initiate social reforms like a four-and-a-half-day workweek, and uphold democratic norms by ensuring military coups remain a relic of the past.

Lee also emphasized a commitment to depoliticizing the prosecution system and delivering economic recovery from his first day in office.

While the implementation timeline for his crypto initiatives remains uncertain, the international digital asset community is watching closely as South Korea positions itself at the forefront of blockchain innovation under Lee’s leadership.