PANews reported on March 5 that according to Cryptonews, the South Korean media Daily Kyungjae reported that South Korean regulators are closely following developments in Japan before making a decision on cryptocurrency spot ETFs. That is to say, if Japanese regulators approve the Bitcoin ETF application, South Korean regulators may also follow suit.

Japan's Financial Services Commission (FSC) has been discussing the approval of a Bitcoin ETF since late last year. However, the agency has repeatedly shown a lukewarm attitude toward cryptocurrencies, especially Bitcoin ETFs. As a result, South Korean financial authorities "have also begun to react." According to the media report, another top regulator in South Korea, the Financial Supervisory Service, has reviewed the crypto policy of the Japanese Financial Services Agency (FSA) and "shared its findings with relevant organizations in Seoul."

Major Japanese media outlets such as the Nikkei Shimbun reported that the Japanese Financial Services Agency is considering reclassifying cryptocurrencies as investment tools and is also "considering" approving Bitcoin and altcoin ETFs. South Korean regulators believe that the Japanese Financial Services Agency's silence on the matter adds credibility to the Nikkei Shimbun report.