Concerns over stablecoin regulation have led South Korean lawmakers to delay advancing a comprehensive digital asset bill. The timeline for formally submitting the legislation has now shifted to the year 2026.
Officials are still drafting the details of the Digital Asset Basic Act, according to sources. The process has been complicated by substantial disagreements with key industry organizations on the foundational rules for issuing stablecoins.
The bill, which emerged from the ruling party, is designed to legalize domestic stablecoins pegged to the national currency. Its provisions would compel issuers to safeguard reserves by depositing them with regulated custodial institutions.
A point of contention is the potential creation of a dedicated supervisory entity for stablecoin firms before they launch. The financial regulator is evaluating the plan and may limit bank involvement to attract more technology companies to the market.
