South Korea plans to introduce stablecoin regulations, while the opposition pushes for the repeal of cryptocurrency taxes

PANews July 29, according to Cointelegraph, South Korea’s Financial Services Commission (FSC) plans to work with the ruling party to advance a comprehensive bill for the “Digital Assets Basic Act,” covering standards for the issuance and circulation of stablecoins, rules for digital asset businesses, exchange access, disclosures, internal controls, and system resilience. Currently, there are 10 independent digital asset and stablecoin bills already pending review in the National Assembly. Key points of contention include whether issuers of won stablecoins should be bank-held, and whether major crypto exchanges should set an upper limit on shareholding.

Meanwhile, the National Assembly’s Budget and Economy Planning Committee will review a crypto tax repeal bill proposed by the opposition party. The bill was introduced in March by National Power Party lawmaker Song Eon-seok, aiming to remove provisions taxing digital asset transfer or lending income. The tax was originally scheduled to take effect on January 1, 2027; crypto income exceeding 2.5 million won (about $1,700) per year would face a 20% tax rate plus a 2% local income tax.