What BSV needs now is South Korea to block/ ban USD stablec…

What BSV needs now is South Korea to block/ ban USD stablecoins
South Korea is advancing a regulatory framework for won-denominated (KRW) stablecoins amid growing capital outflows into dollar-pegged stablecoins like USDT and USDC, with $115.3 billion flowing into USD stablecoins in 2025 alone. The government, under President Lee Jae-myung, has prioritized the development of a KRW-backed stablecoin as a national policy goal to counter the dominance of foreign stablecoins and strengthen domestic financial sovereignty.
Regulatory efforts are centered on the proposed Digital Asset Basic Act, which aims to establish licensing, capital requirements (minimum 500 million KRW), and full reserve backing for stablecoin issuers. A key debate persists between the Bank of Korea (BOK), which advocates a "banks-first" model requiring 51% bank ownership in issuing consortia for financial stability, and the Financial Services Commission (FSC), which favors a more open approach to include fintechs and avoid stifling innovation. Foreign stablecoin issuers like Circle and Tether are preparing for market entry, with Circle offering infrastructure support and Tether focusing on expanding USDT’s use in payments and remittances.
Circle does not plan to issue a KRW stablecoin directly but will support local institutions with technology and compliance.
Tether is pursuing low-profile partnerships to increase USDT circulation in Korea.
Major domestic players like Kakao, Shinhan, and KB Financial are developing KRW stablecoin ecosystems.
The Bank of Korea is simultaneously testing deposit tokens via "Project Han River" with nine participating banks.
Full implementation of stablecoin rules is expected in 2026, though the final legislation remains pending due to inter-regulatory disagreements.