South Korea's FSC is consolidating 10 crypto bills into one Digital Asset Basic Act to accelerate stablecoin regulation, and strengthen market oversight.
South Korea's Financial Services Commission (FSC) has revealed its plans to consolidate 10 separate cryptocurrency and stablecoin bills into a single Digital Asset Basic Act. The FSC says the legislation will fast-track stablecoin rules and create a legal framework for digital asset businesses, exchanges, and investor protection by the end of 2026.
The FSC's decision comes after multiple digital asset proposals became stuck in the National Assembly, creating overlapping rules and slowing the legislative process. Instead of advancing competing bills individually, the regulator plans to combine them into a single bill.
Currently, 10 digital asset bills, introduced by lawmakers from both the Democratic Party and the People Power Party, remain under review in the National Assembly.
FSC Chairman Lee Won-geon said that the government intends to complete the legislation before the end of 2026, making it one of Seoul's top financial policy priorities.
Meanwhile, to speed up the process, lawmakers have also agreed to hold both National Assembly subcommittees twice each month.
Instead of focusing only on stablecoins, the proposed law aims to establish a complete regulatory framework built around three core pillars: including industry, market, and user protection
For the industry, the bill will formally define digital asset business categories, introduce conduct standards for market participants, and establish the legal foundation for the issuance and distribution of stablecoins.
This would give crypto companies clearer licensing expectations and regulatory certainty that has been missing under South Korea's current framework.
On the market side, the FSC plans to tighten oversight by introducing exchange entry requirements alongside disclosure rules covering token issuance and trading activities.
For users, the bill proposes stronger safeguards by requiring crypto businesses to implement internal control systems and operational stability standards comparable to those expected of traditional financial institutions.
The FSC has repeatedly stated that establishing a legal framework for stablecoin issuance and distribution is one of its top priorities for the second half of the year.
The urgency comes as governments worldwide accelerate stablecoin regulation. The United States recently advanced the GENIUS Act, while Europe has already begun implementing its Markets in Crypto-Assets (MiCA) framework.
Officials are also concerned about the growing use of foreign stablecoins in cross border transactions, an issue that has fueled calls for stronger domestic oversight and a regulated local stablecoin ecosystem.
Alongside the Digital Asset Basic Act, the FSC is separately reviewing plans to open South Korea's crypto market to corporate participants.
According to senior FSC officials, discussions are progressing on easing the country's long-standing separation between traditional finance and digital assets.
The government's push for a unified crypto law comes as South Korea is also reconsidering how digital assets should be taxed.
Meanwhile, opposition lawmakers are pushing to repeal the country's planned 22% crypto income tax, which is currently scheduled to take effect in 2027.
Under the existing framework, crypto gains above the annual threshold would be taxed at 20% national tax plus a 2% local tax, although implementation has already been delayed multiple times.
Supporters of repeal argue that taxing crypto investors while exempting many traditional financial investments creates an uneven playing field and could discourage domestic participation.
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