State Affairs Planning Advisory Committee reviews capital requirements for Korean won stablecoin issuance with financial authorities

It has been reported that the State Affairs Planning Advisory Committee recently held discussions with the financial authorities on the issuance requirements and regulatory measures for Korean won-based stablecoins (virtual assets pegged to fiat currency).

According to industry sources on the 2nd, the State Affairs Planning Advisory Committee's virtual asset task force (TF) summoned the financial authorities the previous day to receive an additional report on stablecoins. It is known that capital requirements for issuers were discussed as a key agenda item. The financial authorities presented that it is necessary to more concretely establish the issuance requirements for stablecoins and to limit the entry of small virtual asset (cryptocurrency) businesses whose issuance conditions are inadequate.

Currently, according to the 'Digital Asset Basic Act' proposed by Min Byung-deok, a member of the Democratic Party of Korea, the capital requirement for stablecoin issuance is set at ₩500 million or more. In the innovation bill of the Political Affairs Committee of the Democratic Party, the capital requirement for stablecoin issuance is set at ₩1 billion or more.