It is really good but on the other hand, the regulation may restrict the freedom of crypto, KYC will be required in any situations
If in my country they guaranteed the protection of my crypto assets from various kinds of scammers and other problems, then for me non-anonymity and various kinds of checks would not be any problem. Therefore, I envy South Korea that they did this so quickly.
I am also very happy for the Koreans, because they will get much more benefit from the legalization of cryptocurrencies than the negative from state control. In addition, the provision of passport data for cryptocurrency users is not scary for me, because it can protect me in a certain situation, as well as reduce the percentage of crime and fraud that use cryptocurrency.