South Korea’s Democratic Party Proposes Special Legislation on Stablecoins

According to ChainCatcher, citing a report from the Chosun Ilbo, Ahn Do-jae, a member of South Korea’s Democratic Party, will officially submit the draft of the “Act on the Issuance and Circulation of Value-Stable Digital Assets” today. This is South Korea’s first comprehensive legislative proposal specifically targeting the full process of issuance, circulation, and regulation of won-denominated stablecoins, and is more specialized than the stablecoin provisions included in Representative Min Byung-deok’s “Basic Act on Digital Assets” last month.

It is worth noting that Kim Eun-hye, a lawmaker from the ruling People Power Party, is also reported by Maeil Business Newspaper to be submitting a similar bill this week, creating a legislative race between the two parties. The Democratic Party’s initiative in introducing this specialized bill marks a substantive step by South Korea’s legislature toward building a regulatory framework for stablecoins, potentially laying the legal foundation for the compliant issuance of won-based stablecoins in the future.