South Korea Tightens Stablecoin Rules with Proposed 51% Bank Control
South Korea's financial regulators are advancing stricter stablecoin regulations, with lawmakers now pushing for banks to maintain 51% control over issuance. The proposed rules mark a significant shift toward traditional finance oversight in the digital asset sector.
The delayed legislative process has created mounting pressure as the Digital Asset Basic Act enters its second phase. Political factions and the Financial Services Commission are revisiting contentious debates to craft durable legislation capable of surviving market volatility.
Stablecoin governance has emerged as the flashpoint in Seoul's policy discussions. Late-night legislative sessions continue as officials grapple with regulating fast-evolving digital assets. The current proposals represent a fundamental reworking of initial drafts deemed insufficiently comprehensive.
