South Korea is planning to move forward with the Stablecoin Regulation Framework as it planned before.
South Korea’s Stablecoin Regulation on the Verge?
The Financial Services Commission of South Korea today issued a statement emphasizing that it will proceed with the development of a stablecoin regulatory framework as planned. The statement comes against the backdrop of the agency refuting reports claiming that the US dollar stablecoin has become a major channel for capital outflows. Instead, the Financial Services Commission wrote, “Since the ‘domestic inflow of dollar stablecoins (approximately 35.3 trillion won)’ during November 2024 to February 2025, when global virtual asset trading was active, was similar in scale to the ‘overseas outflow of dollar stablecoins (approximately 35.3 trillion won),’ it is difficult to say that dollar stablecoins were unilaterally flowing out.”
As per a local media outlet, the Financial Services Commission of South Korea had already named the “Stablecoin Regulation Plan” as the top priority agenda item at the second virtual asset subcommittee meeting in January of this year. The country also is planning to complete a detailed review through inter-agency working groups in the latter half of 2025.
The Financial Services Commission reportedly said, “We plan to review the details of the second phase of the law without a hitch through related organization TFs, etc., targeting the second half of this year as originally scheduled.”
On the crypto front, South Korea is leaving no stone unturned to match steps with other countries. Another testament to it is that crypto has become an underlying aspect of the country’s political fervor. In fact, South Korea’s Presidential candidate Hong Junpyo, representing the National Power Party, has promised to promote the nation’s crypto and tech industries just like Donald Trump. Speaking from his campaign office in Yeouido on the 16th, Hong laid out an ambitious vision for the country’s economic growth.
