The news follows late November reports that South Korea is likely to end the year without a framework for locally issued stablecoins.
South Korea Stablecoin News
South Korean lawmakers are pressing financial regulators to deliver a draft stablecoin bill by a deadline set for later this month, as disagreements over the role of banks continue to stall progress. The country's ruling party sent a last-minute notice to financial regulators to submit a stablecoin regulatory framework draft by Dec. 10.
Kang Joon-hyun, a lawmaker from the Democratic Party, stated that if the government bill does not arrive within this deadline, legislators will “take a drive through legislation by the secretary of the political affairs committee.” If delivered in time, he expects the bill will be discussed at the extraordinary session of the National Assembly in January 2026.
The Financial Services Commission later issued a statement saying no decision had been finalized regarding the formation of a consortium for issuing a Korean won-denominated stablecoin. The regulator confirmed that stablecoin regulation was discussed Monday during a ruling party-government consultation, with both sides agreeing to prepare the government bill as quickly as possible.
Despite earlier reports, no concrete decision has been made on matters such as allowing a consortium in which banks hold 51% or more of equity, according to the FSC. The news follows late November reports that South Korea is likely to end the year without a framework for locally issued stablecoins.
The Bank of Korea (BOK) and other financial regulators clashed over the extent of banks' involvement in issuing Korean won-pegged stablecoins. The central bank expected banks to own at least 51% of any stablecoin issuer seeking regulatory approval in the country, while regulators want a more diverse ecosystem.
A BOK official stated that banks are already under regulatory oversight and have extensive experience handling Anti-Money Laundering protocols, making them a good option for stablecoin issuers. The argument emphasizes banks' existing compliance infrastructure as justification for majority ownership requirements.
Sangmin Seo, chair of the Kaia DLT Foundation, stated in late October that the central bank's argument for banks leading a rollout seems to lack a logical foundation. He argued that a better solution would be to establish clear rules for issuers instead of mandating bank ownership.
Seo added that it would be even more valuable if the BOK could provide guidelines on how risks can be mitigated and what qualifications are required for an issuer to be regarded as trustworthy. This was discussed again during Monday's meeting, with an official from Kang's office saying the ruling party was looking for a point of contact.
The official stated lawmakers are considering both the stability of the BOK's monetary policy and the industrial innovation emphasized by the FSC. The Dec. 10 deadline represents a critical juncture for South Korea's cryptocurrency regulatory framework development.
This article contains links to third-party websites or other content for information purposes only (“Third-Party Sites”). The Third-Party Sites are not under the control of CoinMarketCap, and CoinMarketCap is not responsible for the content of any Third-Party Site, including without limitation any link contained in a Third-Party Site, or any changes or updates to a Third-Party Site. CoinMarketCap is providing these links to you only as a convenience, and the inclusion of any link does not imply endorsement, approval or recommendation by CoinMarketCap of the site or any association with its operators. This article is intended to be used and must be used for informational purposes only. It is important to do your own research and analysis before making any material decisions related to any of the products or services described. This article is not intended as, and shall not be construed as, financial advice. The views and opinions expressed in this article are the author’s [company’s] own and do not necessarily reflect those of CoinMarketCap.
