South Korea Delays Comprehensive Crypto Law Amid Stablecoin Issuer Disputes
South Korea’s efforts to establish a proper framework for digital assets have encountered significant delays as of late, with the proposed Digital Asset Basic Act now postponed until 2026. The recent holdup reportedly stems primarily from ongoing disagreements among the country’s various regulatory authorities regarding which institutions should be authorized to issue stablecoins, a critical component of the emerging cryptocurrency ecosystem.
The Financial Services Commission (FSC) has outlined stringent safeguards in its draft legislation aimed at enhancing investor confidence.
For stablecoin issuers, the plan mandates holding reserves exclusively in low-risk instruments such as bank deposits or government bonds.
Furthermore,…
