South Korea's Democratic Party Plans to Propose Stablecoin Legislation After June Elections

On April 22, Edaily reported that Kim Hyun-jung, a member of the Democratic Party’s Digital Assets Special Task Force, stated that a basic law on digital assets related to stablecoins (Phase II legislation) will be submitted after the local elections in June, and a subcommittee for the bill will be convened at that time. Kim pointed out that disputes such as shareholding restrictions for major shareholders of exchanges have not yet been fully resolved and require further discussion. However, given the new positive stance of the Bank of Korea’s Governor Shin Hyun-song towards stablecoins, he believes that stablecoin legislation will ultimately be passed. The Democratic Party’s Digital Assets Special Task Force is considering meeting with Shin Hyun-song after the local elections. Kim also emphasized the need to improve the relevant systems for CBDCs and Korean won stablecoins in advance, ensure consistency in tax systems with international regulations, and effectively strengthen the infrastructure for responding to digital asset crimes.

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