South Korea's "Digital Asset Basic Act": Stablecoin issuers will be limited to consortia with 51% bank ownership as the main direction

According to ChainCatcher, citing News1, in the process of formulating the second phase of digital asset (virtual asset) legislation, the "Basic Law on Digital Assets," the South Korean government and National Assembly are moving towards limiting stablecoin issuers to "consortiums with 51% bank ownership" as the main direction.

The current proposal under discussion is to grant stablecoin issuance rights to consortiums in which banks hold a 51% stake. The special task force (TF) on digital assets within the Democratic Party has also basically decided to adopt this plan. Previously, regarding the issue of stablecoin issuers, the Bank of Korea advocated that banks should take the lead and that issuance should be limited to the banking system, while some members of the National Assembly believed it should be open to fintech and blockchain companies. The government version of the bill is required to be submitted no later than the 10th of this month, with the goal of starting discussions within the year and completing legislation before January next year.