Time remaining until 2027, now is the right time to change the way you trade virtual assets

A rare window of opportunity has opened in the Korean cryptocurrency market. Due to the government’s tax policy suspension, a period of at least two years, until January 1, 2027, is expected to be maintained where trading profits are not taxed. This is not merely a delay in regulation but a structural opportunity to fundamentally reshape investment strategies.

As major assets like Bitcoin enter a re-acceleration phase, individual investor participation is increasing noticeably. Short-term trading and swing trading demand are rebounding, and trading volumes are rapidly rising. However, even amid these market positives, entry barriers remain. Concerns over private key management, past exchange security incidents, and risks during asset custody continue to weigh on investor psychology.

The choice of trading structure determines the quality of returns

Currently, there are two main ways to participate in cryptocurrencies in the Korean market. One is spot trading through domestic exchanges, and the other is using CFD( contracts for difference). Even if the price movements are similar, the actual returns and cost burdens can vary greatly depending on the trading structure.

Limitations of domestic exchange spot trading

Spot trading on major domestic exchanges is fundamentally a bet on rising markets. You can profit when prices go up, but in declining or sideways markets, response options are limited. Beyond holding or waiting, it’s difficult to implement clear trading strategies.

More importantly, the cost structure is significant. Trading fees are incurred on both buy and sell sides, and as trading frequency increases, cumulative costs grow exponentially. For short-term traders, these costs can significantly erode final returns.

Asset custody is also an issue. Assets must be stored on exchanges, and recent security incidents serve as ongoing reminders of the inherent risks. Even large exchanges are not immune to issues related to specific blockchains or tokens, which can directly impact exchange risk.

CFD: Expanding strategy through simplicity

CFD trading structurally removes these constraints. No need to install separate wallets or manage seed phrases, and you can start trading immediately after opening an account. Similar to stock trading, the process of setting entry points, stop-loss, and take-profit levels, and then closing positions is straightforward.

Using two-way trading to leverage volatility

The biggest advantage of CFDs is the ability to respond to both upward and downward movements. If you expect prices to rise, you buy; if you anticipate a decline, you sell short. This provides a wide range of trading options even in highly volatile markets. It means profit opportunities can be captured even during sideways or bearish phases.

Differences in capital efficiency

Spot trading requires the full amount of capital to establish a position. In contrast, CFDs leverage capital, allowing participation in larger trades with limited funds. This is not about risky betting but about more strategic capital allocation, greatly improving short-term traders’ capital efficiency.

Cost structure differences

Some CFD platforms do not charge trading fees. For strategies involving frequent trades over short periods, this difference can significantly impact cumulative returns.

Transparency in risk management

CFD trading typically includes standard stop-loss and take-profit functions, enabling fixed risk levels from the moment of entry. Even during sudden volatility, positions are automatically closed according to preset criteria, reducing emotional decision-making.

Avoid the pitfalls of indirect investment

Recently, interest among Korean investors in so-called “coin stocks” listed on U.S. stock markets has been rapidly growing. Instead of directly investing in Bitcoin, many are seeking indirect exposure through stocks of cryptocurrency-related companies.

The premise is simple: if Bitcoin’s price rises, related company stocks should also increase. However, actual data shows how unstable this expectation can be.

Over the long term, Bitcoin has achieved overwhelming cumulative returns over 7 or 10 years, while related company stocks have shown limited performance over the same periods. In some periods, they even exhibit higher volatility and deeper declines. The price movements are clearly not synchronized over the long term.

More extreme discrepancies in short-term periods

The performance of these stocks is heavily influenced by market themes and capital inflows rather than Bitcoin’s price itself. When the crypto market enters correction phases, some related companies issue new shares or convertible bonds to ease financial burdens. As the number of shares increases, existing shareholders’ stakes are diluted, and stock prices can plummet regardless of Bitcoin’s price.

Ultimately, “coin stocks” are not just bets on cryptocurrency prices but also involve the company’s financial strategies and management risks. In highly volatile markets, this gap can have a critical impact on investment outcomes.

Choose transparency through direct exposure

In the current Korean market environment, there is little need to take such indirect routes. Cryptocurrency tax deferrals are still in place, and trading within the legally permitted scope allows direct exposure to price movements.

Under these conditions, CFD trading is especially attractive. You can focus solely on Bitcoin’s price without worrying about stock dilution or financial strategies of specific companies. With Bitcoin currently trading around $93,850, directly participating in price movements is simpler and more transparent.

Choosing a structure is choosing the future

The deadline of 2027 is clear, but the environment after that could be entirely different. The “tax benefit window” currently open in Korea is a unique opportunity that may not recur.

At this point, the key question is not which asset to buy, but how to participate in the market structurally. Even with the same price movements, the costs, risks, and ultimately the returns can vary greatly depending on the trading method.

Trading directly in the price flow—without security concerns, tax burdens, or being shaken by corporate issues or share dilutions—is most compatible with the current environment. The more volatile the market, the more the simplicity of the structure translates into stability.

Choices made during this tax deferral period can serve as a benchmark for how you view the future of the cryptocurrency market. In the long run, what you buy may matter less than how you trade it.

There is not much time until 2027. Now is the time to carefully consider your trading structure.