Bank of Korea Proposes Stricter Rules for Won-Pegged Stablecoins

The Bank of Korea (BOK) has proposed stringent regulatory measures for won-pegged stablecoins, requiring cryptocurrency issuers to deposit reserve assets directly with the central bank. This groundbreaking regulatory framework, outlined in documents submitted to the National Assembly's finance committee on October 1, signals South Korea's commitment to strengthening oversight of the rapidly growing stablecoin market.

The BOK's recommendations come as the government prepares to unveil its first comprehensive stablecoin regulation draft bill later this month, marking a significant milestone for cryptocurrency regulation in Asia's fourth-largest economy. These proposed rules would establish unprecedented direct oversight of digital asset reserves, potentially setting a global precedent for central bank involvement in stablecoin governance.

This regulatory push reflects growing concerns about stablecoin stability following high-profile collapses in the DeFi ecosystem. The stricter requirements could impact major cryptocurrency exchanges and blockchain platforms operating won-based stablecoins, while potentially boosting investor confidence in Korea's digital asset market. As Bitcoin and other cryptocurrencies face increasing regulatory scrutiny worldwide, South Korea's proactive approach positions the nation as a leader in balanced cryptocurrency regulation that protects investors while fostering blockchain innovation.