Digital Convergence Industry Association holds policy meeting in Seoul to discuss issues and improvement issues regarding the introduction of won-denominated stablecoins

On the 7th of this month, the Digital Convergence Industry Association held a meeting in Yeouido, Seoul, sponsored by Korea Digital Asset (KODA) to introduce won-denominated stablecoins, which have recently attracted attention.
An emergency meeting was held with digital asset experts on the topic of issues and improvement issues. The background of the proposal by Kim Ki-hoon, chairman of the Digital Convergence Industry Association, and Park Jae-hyun of noone21
EO's proposal for a response to the "US Stablecoin Strategy and a Won-denominated Stablecoin to Address Its Issues" and Professor Lee Hyo-jin of Korea University's "Regulatory Framework for the Introduction of Stablecoins"
Afterwards, a lively discussion ensued with the participating members, during which they discussed the establishment of legislation on digital asset innovation in order to further elevate the status of the Korean capital market.
Park Jaehyun, CEO of noone21, said, "Since the Trump administration, the US has been pegging its currency to the dollar.
He explained the background of the proposal by saying, "We are leveraging stablecoins as strategic assets to strengthen the influence of the dollar in the global economic order."
The key point that South Korea's stablecoin policy must emphasize in this regard is competition.
A competitive won-denominated stablecoin will be widely used and highly usable (at the time of use) by combining reliable business entities, multi-chain issuance, mutual operation network, and easy payment.
Professor Lee Hyo-jin said, "If stablecoin regulations focus on risk management, stablecoins will be able to be used in the future."
"There are serious concerns that this will make it difficult to develop the blockchain ecosystem. Regulations on stablecoins must be designed to leverage their strengths and effectively address their risks," he emphasized.
The experts in attendance said the demand for dollar-denominated stablecoins was fueled by the GENIUS Act, a policy that favors cryptocurrencies in the United States.
We have expressed diverse opinions, hoping that the Ethereum Trust will expand with the passage of the Ethereum Trust Act and fulfill its role as a key asset and settlement in the digital financial era.
Some experts also expressed the opinion that in order to stimulate won stable trading in South Korea, the legal and institutional infrastructure must first be established.
Kim Ki-hoon, chairman of the Digital Convergence Industry Association, said, "In line with global trends such as the development of digital finance and changes in asset policies in major countries, we are working to develop stablecoins and token securities in Korea.
It is necessary to take into account the risk factors of digital asset trading and to establish an institutional mechanism for the stability of the financial market and the protection of financial consumers.
"Stablecoins are highly likely to be used for international remittances and other purposes based on innovation and global standards, and will be used in the future for digital money, such as fintech," he said.
There are concerns about cryptocurrency speculation that takes advantage of the high kimchi premium and the outflow of foreign currency through overseas exchanges due to the expansion of dollar-denominated stablecoin trading.
Chairman Kim also said, "In order to expand the ecosystem of global stablecoins, it is important to understand the technology and business structure. When supporting small businesses with local currencies, it is important to understand the stablecoin technology and business structure."
"We need to discuss ways to coordinate with them," he said.