The ruling party in South Korea plans to incorporate tokenized RWA and stablecoins into the existing financial regulatory framework.

CycleProphet · 2026-04-08T10:13:30+00:00

The Korean Democratic Party plans to include tokenized real-world assets and stablecoins in the Basic Digital Asset Law, requiring RWA issuers to deposit funds into trust accounts, with stablecoins regulated by the foreign exchange authority, and prohibits idle stablecoins from generating yields. The bill has been delayed multiple times, with the rollout now postponed to 2025.

CycleProphet

2026-04-08 10:13:30

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Deep Tide TechFlow message, April 08, according to The Block, the Democratic Party of Korea plans to incorporate tokenized real-world assets (RWA) and stablecoins into the existing legal framework, and the relevant provisions have been included in the proposed Digital Asset Framework Act.

The proposal requires tokenized RWA issuers to place the underlying assets linked to the tokens into a trust account under the Capital Markets Act; stablecoins are categorized as “means of payment” under the Foreign Exchange Transactions Act, and are therefore regulated by the foreign exchange authorities without needing separate registration. Small-scale stablecoin transactions are exempt from foreign exchange reporting, while large transactions retain regulatory requirements. In addition, the proposal prohibits providing returns on idle stablecoin balances and requires the Financial Services Commission to establish technical standards for stablecoin interoperability.

The Digital Asset Framework Act is Korea’s second set of digital asset regulatory rules, and it has been delayed in the legislative process multiple times, with the original timeline for rollout in 2025 pushed back.

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