South Korea Plans Forex Law Change to Regulate Stablecoins…
By Abdelaziz Fathi
AI summary of the source article
South Korea's government and central bank plan to amend the Foreign Exchange Transactions Act to classify stablecoins as payment instruments. The Bank of Korea intends to prepare legislation within 2026 alongside a framework to monitor cross-border virtual-asset transactions.
Why it matters
The Bank of Korea linked the initiative to money-laundering and regulatory-arbitrage risks created by digital assets that can move internationally without conventional intermediaries.
Key facts
- South Korea's government and central bank plan to amend foreign exchange law to bring stablecoins explicitly into the payment instruments framework.
- The Bank of Korea intends to prepare the legislation within 2026 accompanied by a monitoring framework for cross-border virtual-asset flows.
- The government is separately working on the Digital Asset Basic Act to address crypto exchange licensing and stablecoin issuance.
Source excerpt · FinanceFeeds
South Korea's government and central bank plan to amend the country's foreign exchange law this year to bring stablecoins explicitly within the regulatory framework for payment instruments, tightening oversight of digital assets used for cross-border transfers.The Bank of Korea said it is coordinating with the government on amendments to the Foreign Exchange Transactions Act and intends to prepare…