South Korea FSS Official: Stablecoin Payments Should Fall Under Electronic Financial Transactions Act

Cointime update: A South Korean Financial Supervisory Service official said stablecoins used as electronic payment means should be governed by the Electronic Financial Transactions Act, citing fairness with existing payment methods, user protection and settlement stability. Shim Eun-seop, head of the FSS electronic finance inspection bureau, proposed a small-amount licensing regime under the law at a Seoul seminar on Nov. 10. The Bank of Korea’s Kim Bo-il reiterated that stablecoin issuance should start bank-centered, with issuer eligibility expanded after technical validation.