South Korea's new president fulfills campaign promise and gives green light to stablecoin issuance

Odaily News South Korea's new president, Lee Jae-myung, is moving quickly to deliver on his campaign promise to allow local companies to issue stablecoins, further boosting one of the world's most active digital asset markets. Lee has been a vocal supporter of stablecoin adoption. On Tuesday, Lee's ruling Democratic Party proposed the Basic Law on Digital Assets, which aims to increase transparency and encourage competition in the cryptocurrency industry. Under the bill, South Korean companies can issue stablecoins if they have at least 500 million won ($367,876) in equity while ensuring guaranteed refunds through reserves. South Korea is already a hotbed of cryptocurrency activity, with more than a third of the population, or about 18 million people, participating in the digital asset market. At some point, trading volumes on domestic cryptocurrency exchanges even exceeded those of the South Korean Composite Index and the Korea Stock Exchange Stock Exchange (KOSDAQ) index. Stablecoins are cryptocurrencies pegged to another asset, usually the U.S. dollar. (Jinshi)