South Korea FSC Plans Digital Asset Basic Act Within the Year

South Korea's Financial Services Commission reported to the presidential office on the 15th that it will prepare a Digital Asset Basic Act within the year. The FSC stated in its second presidential work report materials that the law aims to create an innovative digital asset ecosystem. The announcement follows a previous proposal in March that was postponed indefinitely due to other pressing issues including Middle East developments.

FSC Outlines Digital Asset Basic Act Core Provisions

The Digital Asset Basic Act will define and regulate the digital asset industry to create a fair and efficient market, according to the FSC report. The law will include strengthened user protection measures. The FSC stated the legislation will institutionalize the issuance and distribution of stablecoins, which are being utilized as new payment methods in major countries. The commission also confirmed the law will strengthen anti-money laundering (AML) regulations to counter money laundering crimes utilizing virtual assets.

March Proposal Faced Indefinite Postponement

The ruling party and government had planned to propose the Digital Asset Basic Act in March. The proposal was postponed indefinitely as other pressing issues, including Middle East developments, took priority.

FSC Prepares Token Securities Enforcement Decree

The FSC included tokenized securities (STO) institutionalization in its capital market structural improvement initiative. The commission is preparing an enforcement decree to regulate the token securities market.

FAQ

What did South Korea's FSC report on the 15th? The Financial Services Commission reported to the presidential office that it will prepare a Digital Asset Basic Act within the year, as stated in its second presidential work report materials.

What provisions will the Digital Asset Basic Act include? The law will define and regulate the digital asset industry, strengthen user protection, institutionalize stablecoin issuance and distribution, and strengthen anti-money laundering regulations to counter crimes utilizing virtual assets.

What happened to the previous Digital Asset Basic Act proposal? The ruling party and government planned to propose the act in March, but the proposal was postponed indefinitely due to other pressing issues including Middle East developments.