The crypto market showed signs of recovery after South Korean President Yoon Suk-yeol decided to withdraw the martial law, just under six hours after it was issued.

According to domestic reports, the order was revoked around 4:30 AM local time (2:30 AM Vietnam time) during a Cabinet meeting. Previously, about 190 out of a total of 300 members of the South Korean National Assembly had voted against the martial law.

"I accept the National Assembly's request and officially lift this order," President Yoon stated, according to reports from The Washington Post.

South Korean President Yoon Suk-yeol

According to South Korean law, the government is required to revoke martial law if a majority of National Assembly members vote for the request.

Martial law is a special measure that the government applies in emergencies, when administrative control is transferred from civilian authorities to military agencies. During this time, civil liberties may be restricted, and the military has the authority to enforce laws and maintain order. Martial law is usually applied in situations such as riots, wars, or severe political crises.

Mr. Yoon's sudden declaration of martial law during a live broadcast on Tuesday shocked global public opinion, prompting the US to express 'deep concern about the developments in South Korea.'

Mr. Yoon stated that the martial law was issued to respond to 'threats from the North Korean communist forces' and to 'suppress anti-state elements.'

"This is an unavoidable measure to ensure freedom and safety for the people, while maintaining national stability against the instabilities caused by destructive forces," he emphasized in a previous statement.

The prices of BTC, ETH, and XRP, along with many other altcoins, dropped sharply immediately after the emergency declaration, but later recovered, increasing by 2.4%, 3.3%, and 9.2% respectively according to data from CoinMarketCap.

"We welcome President Yoon's decision to lift the concerning martial law and respect the will of the South Korean National Assembly," a spokesperson for the White House shared with CNN.

Earlier, on December 2, the retail trading volume of cryptocurrencies in South Korea reached the second highest level of the year, as investors rushed to trade a series of attractive altcoins.

XRP led with a trading volume exceeding 6.3 billion USD in the South Korean market. Dogecoin (DOGE) ranked second with 1.6 billion USD, followed by Stellar (XLM) at 1.3 billion USD, Ethereum Name Service (ENS) at 900 million USD, and Hedera (HBAR) at 800 million USD.

Crisis causes

Currently, South Korea is experiencing a serious political crisis between President Yoon Suk-yeol and the National Assembly, which is controlled by the opposition Democratic Party. This conflict has escalated political tensions and created significant challenges for democracy and national stability.

Crisis context

  • President Yoon Suk-yeol: Since taking office in May 2022, Mr. Yoon has pursued economic and foreign policy reforms but has faced strong opposition from the Democratic Party, which holds a majority in the National Assembly.

  • Democratic Party: With a majority of seats in the National Assembly, this party has sought to block many of the President's key policies and appointments, leading to a state of 'government deadlock.'

Key issues

  1. Budget conflict: The President and the National Assembly are in a heated dispute over the national budget, particularly public spending to boost economic growth.

  2. Judicial reform: One of the hot topics is reforming the judicial system, as President Yoon pushes to limit the power of the prosecution, while the Democratic Party views this as an action to consolidate personal power.

  3. Foreign relations: The differences in approaches to powers like the US and China are also a cause of increased tension.

  4. Accountability issues: The Democratic Party has repeatedly sought to conduct investigations and even proposed impeachment of members of Mr. Yoon's administration on charges of corruption and abuse of power.

Consequences

  • Political instability: The confrontation between the President and the National Assembly undermines public trust in democratic institutions and hampers the policy-making process.

  • Economic impact: Prolonged political deadlock risks harming the economy, especially as South Korea faces slow growth and pressure from regional competitors.

  • Weakened foreign relations: Internal crises make it difficult for South Korea to maintain its position and flexibility in foreign policy.

The future

The current crisis is a major test for President Yoon Suk-yeol's leadership as well as for unity within the Democratic Party. Without a breakthrough solution, the situation could deeply undermine South Korea's democracy and plunge the country into a prolonged spiral of instability.


Source: https://tapchibitcoin.io/thi-truong-crypto-phuc-hoi-khi-tong-thong-han-quoc-rut-lai-lenh-thiet-quan-luat.html