TLDR
- Korea advances won stablecoin bill with bipartisan and regulatory backing
- FSC sets October launch for stablecoin rules amid bank-tech interest
- South Korea unites politics, finance in stablecoin legal framework push
- Won stablecoin gains traction as FSC and lawmakers align on regulation
- Tether, Circle court top Korean banks as stablecoin law gains steam
South Korea moves forward with its stablecoin agenda as the Financial Services Commission (FSC) confirms a bill targeting won stablecoin issuance. The proposed legislation is set to formalize the structure for issuing won stablecoins, ensuring collateral and risk control. Government alignment on this agenda signals a critical push toward digital asset infrastructure backed by national currency.
FSC to Introduce Legal Framework for Won Stablecoin
The FSC plans to unveil a comprehensive bill in October detailing guidelines for the issuance and oversight of won stablecoins. This bill forms a key part of the second phase of the Virtual Asset User Protection Act and will mandate internal controls, collateral frameworks, and operational requirements for stablecoin issuers.
The agency aims to prevent systemic risk while promoting adoption of won stablecoins through clear legal guardrails. As the competent financial authority, the FSC seeks to fill regulatory gaps and align its proposals with digital asset laws. South Korea intends to strengthen national sovereignty over emerging financial instruments.
Several related bills have already entered the National Assembly for review, each offering varying visions for stablecoin use. These include the Digital Dasan Framework Act and legislation on value-stable digital assets. These parliamentary proposals will likely converge with the FSC’s roadmap once submitted for debate.
Lawmakers Back Stablecoin Adoption Through New Bills
Multiple lawmakers have proposed stablecoin-related legislation to institutionalize the use of won stablecoins in domestic markets. These efforts are led by members across major political parties, reinforcing bipartisan support for digital asset regulation. Their proposals call for legal definitions, oversight mechanisms, and the creation of supervisory bodies.
The bill suggests creating a presidential-level digital asset committee to coordinate national-level strategies for stablecoin development. Another emphasizes payment innovation, positioning won stablecoins as part of South Korea’s broader financial modernization plan. The diverse proposals indicate robust legislative interest in backing the FSC’s upcoming bill.
These legislative moves build on campaign promises and growing demand for homegrown digital asset frameworks. President Lee Jae-myung had pledged to back stablecoins during his campaign, anchoring political interest in this initiative. The FSC’s involvement now adds executive momentum to legislative groundwork.
Tether and Circle Engage Top Banks Amid Stablecoin Push
Global stablecoin leaders Tether and Circle have scheduled meetings with executives from South Korea’s largest banking institutions. These include Shinhan Financial, Hana Financial, KB Financial, and Woori Bank, each of which regulators designated as systemically important banks. The meetings will focus on possible collaboration in issuing won stablecoins and distributing dollar-pegged coins.
Circle’s president is expected to hold talks with Shinhan and Hana CEOs, while Tether is also engaging top-level officials. These talks mark a growing alignment between traditional banks and digital asset firms within the Korean financial landscape. The involvement of major banking institutions highlights the sector’s readiness to support stablecoin infrastructure.
South Korea recently paused its central bank digital currency (CBDC) tests to focus resources on won stablecoins. This policy shift affirms the government’s preference for public-private collaboration over full centralization. Local banks have responded by filing trademarks and exploring stablecoin product development.
In July, South Korean banks saw share price jumps after trademark filings hinted at stablecoin plans. IT companies like Kakao also expressed intent to participate in the stablecoin sector. This wave of activity signals broad industry readiness for adoption once the regulatory environment solidifies.
