South Korea Unveils Unified Stablecoin Framework Plan

South Korea is moving closer to a unified stablecoin framework, according to the Financial Services Commission (FSC). The FSC plans to prepare a government-backed Digital Asset Basic Act that will bring 10 separate crypto and stablecoin bills under one framework.

The bill is expected to cover three key areas: the digital asset industry, the market, and users. For the industry, it could define digital asset businesses, set conduct rules, and create a legal framework for stablecoin issuance and distribution. The FSC wants clearer exchange entry requirements and disclosure rules covering digital asset issuance and distribution.

User protection will also be a major part of the framework, with strengthened internal controls and IT stability at levels closer to those required of financial institutions. The FSC said it wants to build a digital asset ecosystem where 'innovation and stability are in balance.'