The Central Bank of Korea calls for stronger regulation of USD stablecoins, and USDC representatives will visit Korea, attracting attention.

[Bit推] The Bank of Korea (hereinafter referred to as "Korean Bank") urges the National Assembly to strengthen regulation of US dollar stablecoins, citing that their widespread adoption is threatening South Korea's monetary sovereignty. It is noteworthy that this call comes at a time when representatives of the major US dollar stablecoin issuer USDC are about to hold a series of meetings with senior executives of South Korean commercial banks.

The Bank of Korea emphasized: "The government and the National Assembly urgently need to revise related laws such as the Foreign Exchange Transactions Act." The Bank of Korea is particularly concerned that the proliferation of US dollar stablecoins may trigger a "currency substitution" phenomenon, thereby negatively impacting the effectiveness of monetary policy and monetary sovereignty. In addition, the Bank of Korea assessed that: "The outflow of US dollars through stablecoins may also exacerbate instability in the foreign exchange market."