Key Highlights:
- South Korea introduces new crypto bill focused on stablecoin regulation.
- Bill requires issuers to meet capital thresholds and obtain licenses.
- Proposal aligns with President Lee Jae-myung’s digital asset agenda.
- South Korea joins U.S., EU, and Japan in advancing crypto laws.
New Framework for Stablecoins in South Korea
Lawmaker Min Byeong-deok has proposed the Digital Asset Basic Act, a new bill aimed at strengthening South Korea’s crypto regulatory environment. A key component is a licensing regime for stablecoin issuers, including a capital requirement equivalent to $367,890.Supporting Local Stablecoins
The proposed law reflects President Lee Jae-myung’s campaign promise to foster a Korean won-backed stablecoin ecosystem. The goal is to reduce capital outflows caused by reliance on foreign-denominated stablecoins.Expanding Crypto Legal Infrastructure
Building on 2024’s Virtual Asset Investor Protection Act, the new legislation provides a broader framework that includes defining digital assets, regulating providers, and punishing market manipulation. A new presidential Digital Asset Committee would be created to oversee the sector.International Context
South Korea’s move follows similar efforts in the U.S. (GENIUS Act), EU (MiCA), and Hong Kong. The proposed structure aims to make South Korea competitive and aligned with international standards for crypto regulation.
Read the full article on
theblock.
