Bank of Korea proposes stablecoin regulation in foreign exchange law ahead of crypto bill

The Bank of Korea plans to amend the Foreign Exchange Transactions Act to regulate stablecoins as a means of payment before year-end, subjecting dollar stablecoins to the same cross-border reporting requirements as traditional wire transfers rather than granting them legal tender status. This move runs parallel to the Digital Asset Basic Act and comes as South Korea's crypto income tax, scheduled for January 1, 2027, faces legislative delays and petitions to repeal or postpone it.