FSC Briefs Lawmakers on Stablecoin Regulation in South Korea
The Financial Services Commission (FSC) of South Korea is stepping up its efforts to brief lawmakers on a proposed digital asset basic law, which includes stablecoin regulation. The FSC plans to visit all offices of the National Assembly's Political Affairs Committee in the coming weeks, according to an official from the virtual asset division.
The digital asset basic law aims to establish a comprehensive regulatory framework for virtual assets in South Korea, with a focus on stablecoins. Stablecoin issuers will face stricter reserve and transparency requirements, aligning with global trends seen in the European Union's Markets in Crypto-Assets (MiCA) regulation.
The FSC's proactive briefing schedule suggests that the government is prioritizing swift passage of the law. South Korea is one of the world's most active cryptocurrency markets, with a high rate of retail participation. Clear stablecoin rules could provide legal certainty for exchanges, issuers, and investors, while reducing risks related to market manipulation and systemic instability.