South Korea Proposes Digital Asset Basic Act for Stablecoins

South Korea's ruling Democratic Party has introduced a Digital Asset Basic Act aimed at regulating stablecoins used in foreign exchange as a payment method. According to NS3.AI, the proposed legislation includes Article 112, which mandates that issuers of digital assets tied to real-world assets must place these underlying assets in a managed trust under the Capital Markets Act. Additionally, Article 124 stipulates that businesses dealing with value-stable digital assets in foreign exchange will be subject to foreign exchange supervision without the need for separate registration. The act also proposes exemptions for certain payments for goods and services from reporting requirements within a specified range.