South Korea’s Central Bank Plans Global Framework Against Illegal Crypto Trading

South Korea’s central bank plans an international cooperation framework to combat illegal digital-asset trading as officials coordinate cross-border oversight and prepare new rules for stablecoin payments.

The government and the Bank of Korea (BOK) plan to revise the Foreign Exchange Transactions Act this year, bringing stablecoins under payment oversight and establishing a framework to monitor virtual assets. Stablecoins are crypto assets designed to maintain a stable value. The proposal is part of South Korea’s planned foreign-exchange law revision for stablecoin payments.

The BOK is coordinating with the government on oversight of cross-border digital-asset transactions. The planned international cooperation framework is aimed at combating illegal trading in those assets.

Separately, South Korea is developing the Digital Asset Basic Act, which would cover exchange licensing and rules for stablecoin issuers. Financial Services Commission (FSC) Chairman Lee Eog-weon said Thursday, Oct. 22, that discussions on the bill were nearly complete and the government would move to advance it soon.