Lee Eok-won "In principle, prohibit interest payments on stablecoins"

Financial Services Commission Chairman Lee Eok-won said he would, in principle, prohibit interest payments on stablecoins.

On the 20th (local time), at a National Assembly audit by the Political Affairs Committee, Lee Eok-won made this comment in response to Yu Yeong-ha of the People Power Party pointing out, "Interest payments on stablecoins must be prevented in any form." He added, "Korea will also follow the same principle as the U.S.'s 'Genius Act,' which prohibits interest payments on payment-purpose stablecoins."

He also said the Financial Services Commission is preparing in various ways. The chairman said, "We will maintain global consistency and guarantee opportunities for trust in a stable manner," and added, "The law will be handled as law, and we will promptly pursue adjustments to related systems for enforcement decrees and follow-up procedures through prior preparation." Earlier, he had said, "We plan to submit stablecoin-related legislation to the National Assembly within this year."

Meanwhile, Rep. Yu Yeong-ha urged, "The government's and the ruling party's stablecoin policy is focused only on 'issuance'," adding, "There needs to be more discussion within the Financial Services Commission about the sustainability of growth for won-denominated stablecoins."