Crypto’s Impact on the South Korean Presidential Election: Young Voters, Elder Capital — the Crypto World Is Shaping the Race

In this South Korean presidential election, crypto is no longer a fringe issue—it’s now under the spotlight and could even become a decisive factor. The political scene is experiencing an unprecedented “digital asset storm,” driven by young voters’ hunger for future investment opportunities and older generations’ growing capital involvement.

Note: This article focuses solely on the influence of the crypto market in real-world politics and does not express any political stance.

From Fringe Topic to Core Agenda: Crypto Takes the Political Stage

The reason why crypto has moved into the election spotlight lies in the rapid shift in South Korea’s societal perception of digital assets. Back in 2022, then-president Yoon Suk-yeol made several “pro-crypto” promises. Although many of them failed to materialize, it proved one thing to future politicians—crypto doesn’t just grab headlines, it wins votes.

By the 2025 election, it’s not just the youth who care about crypto. Older generations are now seriously considering digital assets as part of their portfolios. This generational shift has led all three leading presidential candidates to put crypto on their official policy platforms.

Let’s take a brief look at the three candidates:

Lee Jae-myung (Democratic Party): Running for a second time, continuing his strong pro-crypto stance.
Kim Moon-soo (People Power Party): Aims to carry out Yoon’s unfinished crypto reforms.
Lee Jun-seok (Reform Party): Young, energetic, and boldly proposes to grow the blockchain gaming industry as “Korea’s next semiconductor.”

How mainstream is crypto now? In live TV debates, candidates are arguing the differences between USDT and USDC—crypto has clearly gone from niche chatter to national debate.

Even more interestingly, the voters themselves have changed. According to Korea’s Financial Intelligence Unit (FIU), as of the end of 2024, there were 9.7 million KYC-verified crypto users nationwide—a 25% surge from mid-year. The biggest growth came from people in their 30s, but usage among those in their 40s and 50s also skyrocketed, with both age groups showing over 25% growth.

Yes, you read that right. Crypto’s core user base is shifting from 20-something surfers to “middle-aged stability seekers”—and they’re coming in with serious money. The FIU reported that 220,000 individuals held more than 100 million KRW (about $73,000) in crypto by year’s end, with 78% of them aged 40 and above. This shift means their goals are no longer “get rich quick” but “regulation, stability, and access to ETFs.”

That’s why two of the three candidates have explicitly supported the launch of Bitcoin ETFs—to give cautious investors a way to gain exposure while staying within regulatory boundaries.

The Stablecoin Controversy: Innovation or a Repeat Mistake?

Of course, crypto policy isn’t just about saying “yes.” For example, Lee Jae-myung proposed issuing a state-backed stablecoin pegged to the Korean won, aiming to reduce reliance on overseas USD stablecoins. But Lee Jun-seok swiftly clapped back.

Why? Because Koreans still have fresh memories of the Terra disaster—remember TerraKRW, the algorithmic stablecoin pegged to the won? It wiped out billions overnight. Lee Jun-seok went straight to Facebook: “Another stablecoin? Where are the backing assets? Where’s the risk management? If you don’t clarify these, it’s just a slogan.”

This stablecoin debate highlights two things: 1) stablecoins are now a part of national financial infrastructure discussions, and 2) both the public and politicians still vividly remember past crypto failures—policy now demands details, not just good intentions.

P2E Gaming: The Next Policy Battleground

P2E (Play-to-Earn) gaming has also become a hot election topic. Korea has long taken a conservative stance on P2E games, which are still technically banned. But that hasn’t stopped developers—Korean gaming giant Nexon recently launched a new crypto project, sending its stock price soaring.

Lee Jun-seok went even further: “P2E gaming is our next semiconductor industry.” His platform explicitly proposes support across tax incentives, export strategies, and talent development for the blockchain gaming sector. He argues that if Korea doesn’t act fast, it will lose its talent and capital to more welcoming countries. Sound familiar? That was the narrative behind Korea’s early bets on chips and AI years ago.

A country doesn’t build an industry powerhouse with tech alone—it needs policy behind it.

ETF: The Keyword for Older, Cautious Investors

When it comes to older investors, their main concern is access—and ETFs are the easiest gateway. Many don’t want to deal with buying crypto directly: KYC processes are tedious, wallets are complicated, and the fear of platform collapses looms large.

But ETFs are different—you can buy them via your brokerage, have them bank-custodied, and manage them like any traditional asset.

The problem? Korean law still doesn’t recognize Bitcoin as a legal ETF asset. The solution? The Financial Services Commission (FSC) is now reviewing legislation to allow access for institutional investors first. If this “institutional-only track” opens, it could pave the way for retail investors to follow. Both Lee Jae-myung and Kim Moon-soo have committed to “pushing for Bitcoin ETF approval” in their campaign pledges, signaling their awareness that crypto is more than just a speculative bubble—it’s part of Korea’s evolving financial infrastructure.

As Professor Cho Jae-woo put it, “We could’ve been ahead. Now, we’re just following the U.S.”

Conclusion: These Voters Know Their Chains

This generation of Korean voters—whether they’re 30-year-old crypto-native surfers or 50-year-old portfolio planners—are putting their money where their beliefs are. Politicians hoping to win them over can’t just throw out buzzwords; they must understand the deeper logic behind blockchain ecosystems.

No matter who wins, crypto policy in Korea can no longer lie dormant. It’s become a pillar of national economics, generational finance, and geopolitical positioning. Korea’s on-chain election has officially begun—and the world should be watching.