South Korea is modernizing its digital financial market with new initiatives regarding crypto ETFs and stablecoins.
FSC's Plan for Crypto ETFs
The Financial Services Commission (FSC) of South Korea has introduced a new roadmap, aiming to launch crypto ETFs by the second half of 2025. This initiative seeks to align the local market with global standards in response to increased calls from advocates in the region.
Stablecoin Regulation and Protective Measures
In addition to crypto ETFs, the FSC is working on legislation to regulate the issuance of Korean Won-based stablecoins. Stricter rules are also planned regarding the listing of virtual assets, aimed at enhancing investor protection.
Toughening Enforcement Measures
The FSC intends to introduce stricter penalties for misconduct, including permanent bans and heavy fines for individuals or firms involved in illegal activities. This is part of a wider campaign to improve transparency and reduce trading fees on crypto exchanges.
This roadmap represents a significant step forward in South Korea's ambition to strengthen its position in the digital financial market, although the proposals are still in the development stage.
