TechFlow news, April 21 — According to The Block, the Bank of Korea stated it will "actively participate" in establishing the country's regulatory framework for stablecoins to mitigate potential monetary and financial risks. In its payment system report released on Monday, the Bank of Korea noted that stablecoins possess characteristics of payment instruments, and their expanding use could affect the effectiveness of monetary policy.
Previously, South Korea’s Financial Services Commission announced it would begin drafting a new cryptocurrency bill in the second half of this year, focusing on stablecoin regulation and transparency requirements for crypto service providers. This legislation serves as a supplementary measure following the first cryptocurrency law, which took effect in July 2024.
