Korean Won Stablecoin Regulation Reassessment Variables FSC Says More Coordination Time Needed

The Korean crypto market faces another wave of regulatory uncertainty. Recently, a representative from the Financial Services Commission(FSC) responded that the Korean Won stablecoin regulation framework, originally scheduled for submission on December 10, has not been completed as planned.

**Why is the regulatory progress delayed?**

The FSC's delay is not without reason but involves complex coordination among multiple departments. The agency stated that instead of rushing to submit the plan before the deadline, it is better to take advantage of the opportunity to submit the bill to the National Assembly and simultaneously fully disclose the complete proposal to the public. This approach is seen as a more cautious attitude that emphasizes public right to know.

**Regulatory background and market significance**

South Korea's ruling party previously issued strict requirements to various ministries and the FSC to propose a clear regulatory plan for the Korean Won stablecoin by December 10. Against the backdrop of the potential launch of stablecoins with denominations such as 20,000 Korean Won, this bill is expected to become the industry's first clear regulation. Although the delay disrupts the original schedule, it also provides relevant agencies with more time to thoroughly debate the reasonableness and feasibility of the plan.

The maturity of the regulatory framework directly relates to the development direction of South Korea's stablecoin ecosystem. The FSC's attitude indicates that authorities are making a cautious choice between careful advancement and rushed legislation, which may be more beneficial than harmful for the industry's long-term development.