South Korean Presidential Candidates Debate Stablecoin Policies

According to PANews, a heated debate has erupted among South Korean presidential candidates over stablecoin policies. On May 8, Lee Jae-myung, the candidate from the main opposition Democratic Party, advocated for the swift establishment of a Korean won stablecoin market, warning of potential 'national wealth outflow' if not addressed. This proposal faced strong opposition from Lee Jun-seok, the candidate from the Reform Party, who cited the 2022 Terra collapse as a cautionary example, highlighting the disastrous consequences of algorithmic stablecoins like KRT lacking real asset backing. Supporters of Lee Jae-myung, including former lawmaker Kim Byung-wook, countered by stating that global regulatory bodies have clearly distinguished between algorithmic stablecoins and compliant stablecoins backed 1:1 by cash or government bonds. They argue that a Korean won stablecoin could reduce cross-border remittance costs. Industry insiders note that this marks the first public technical debate on crypto assets within South Korean politics, with the election outcome potentially shaping the country's crypto regulatory direction. The election is scheduled for June 3.