TechFlow news: Kim So-young, Vice Chairperson of South Korea's Financial Services Commission (FSC), said Thursday at the international conference "The Future of Digital Currency and CBDC Promotion Strategy" that the authority will consider implementing a market discipline system for initial coin offerings (ICO) and distribution. The "Virtual Asset User Protection Act," which clarifies obligations for virtual asset operators and prohibits unfair trading practices similar to those in capital markets, is scheduled to take effect next July. Discussions are underway in the National Assembly on refining the regulatory framework to apply existing capital market laws to tokenized securities. The overarching structure of the regulatory system has been established, and further reviews will be conducted on the issuance and circulation of virtual assets, business operations of virtual asset service providers, and market supervision.
In addition, he stated that a separate regulatory framework will be developed for stablecoins—virtual currencies whose values are pegged to fiat currencies—as these may threaten existing monetary sovereignty and financial markets, aiming to enhance the reliability and stability of the digital asset market.
