South Korea report urges interim stablecoin rules ahead of broader crypto law

Interim rules before full legislation

The report says regulators should not wait for lawmakers to complete the wider Digital Asset Basic Act before setting out basic requirements for stablecoin issuance and use. It argues that a delay could leave companies and users without legal clarity during a period when interest in won-backed stablecoins is growing.

As an interim step, the report recommends guidance covering who can obtain a license, which activities would be allowed, and how payment-related services should be handled. The stated aim is to let regulated firms prepare in advance rather than wait for the final legislation to take effect.

The recommendations remain advisory and are not current law. They are presented as a way to bridge the gap until the full legislative framework is agreed.

Possible ownership compromise

Alongside the call for interim guidance, a separate compromise model has been discussed publicly for how stablecoin issuers could be structured. Under that approach, banks would retain majority ownership of issuing entities, while fintech companies or other non-bank partners would manage day-to-day operations.

That structure has not been adopted. The report describes it as part of ongoing negotiations rather than a settled policy choice.

If pursued, the model would attempt to balance bank oversight with operational roles for newer financial or technology firms. For now, however, it remains one option under discussion rather than a confirmed regulatory framework.

Ten proposals may be merged

The report also points to a broader legislative process now under way in South Korea. The Financial Services Commission is planning to prepare a consolidated Digital Asset Basic Act, with ten existing proposals potentially folded into a single government-backed bill during negotiations in 2026.

That means the final legal framework for digital assets, including stablecoins, is still being shaped. The interim guidance proposed in the report is framed as a response to that timeline, with supporters arguing that businesses need earlier direction even if the full act takes longer to finalize.

Broader digital asset agenda

Beyond stablecoins, the report addresses other parts of South Korea’s digital asset policy debate. Its recommendations touch on payment networks, the use of public blockchains, tokenized assets, and possible links between traditional financial markets and decentralized finance.

These proposals, however, are still policy recommendations rather than binding rules. Their inclusion shows that lawmakers and regulators are considering digital asset regulation as part of a wider market structure agenda, not only as a narrow stablecoin issue.

For now, the clearest immediate takeaway from the report is its call for a stopgap framework: limited but formal guidance that could give issuers, payment providers and related firms a clearer path while the country works through the longer process of drafting a comprehensive digital asset law.