South Korea’s Financial Services Commission (FSC) will reportedly follow US regulatory steps and include a ban on stablecoin interest payments in its highly anticipated framework, expected to be released later this year.

FSC To Prohibit Interest Payments on Stablecoins

On Monday, Yonhap News reported that Financial Services Commission Chairman Lee Eun-won affirmed that the regulatory agency will “fundamentally prohibit the payment of interest on stablecoins as a principle.”

During a National Assembly’s Government Affairs Committee audit, Lee emphasized that interest payments on digital assets pegged to the Korean won (KRW) “must be blocked in any form,” following a question by People Power Party (PPP) lawmaker Yoo Young-ha.

In July, South Korea’s ruling and opposition parties propos

See Full Page