Blab Crypto
South Korea Revives Blockchain Roadmap with Stablecoin Rules, Tokenized Bonds and Crypto ETF Plans
In a bold move that signals its unwavering commitment to digital innovation, South Korea’s Ministry of Economy and Finance has unveiled a refreshed blockchain strategy for the latter half of 2026. The plan lays out new stable‑coin regulations, a pilot for tokenised government bonds, and legislative steps toward spot cryptocurrency exchange‑traded funds (ETFs), underscoring the country’s intent to keep blockchain at the core of its digital‑asset agenda even as it boosts funding for artificial intelligence and semiconductor development.
The ministry’s announcement followed a State Council meeting and confirmed that blockchain projects will remain embedded in the national growth strategy. Officials said the government will back large‑scale pilot initiatives and encourage technologies that strengthen the digital‑asset ecosystem. Central to the agenda is the Digital Asset Basic Act, expected to create a legal framework for digital assets that includes conduct rules for businesses and standards for Korean‑won‑pegged stablecoins.
Beyond domestic regulation, authorities plan to lay a legal foundation for cross‑border stable‑coin transactions. The ministry also revealed amendments to the Capital Markets Act that would allow South Korea to launch its first spot cryptocurrency ETFs. These changes aim to align the country’s financial markets with global trends while safeguarding investor protection.
In 2027, a separate initiative will test tokenised government bonds linked to the Bank of Korea’s institutional central bank digital currency (CBDC). The pilot will examine how blockchain can issue, trade, and settle sovereign debt, and the Bank of Korea will study how the CBDC can interoperate with other blockchain networks.
Earlier this month, Gyeonggi Province confirmed an eight‑month proof‑of‑concept programme that will start in August to test a blockchain‑based stablecoin for regional currency and government payments. The project, led by blockchain security company ZKrypto, will run until February 2027. During its first stage, the pilot will evaluate stable‑coin issuance, circulation, and settlement before later assessing fraud prevention, privacy protections and public‑benefit payments. ZKrypto said the system will employ zero‑knowledge proofs to prevent double spending, while proof‑of‑reserve technology will verify reserve assets throughout the trial.
The ministry also announced plans to explore the management and trading of Global Voluntary Carbon Market credits on blockchain platforms in partnership with international organisations. By applying blockchain’s transparency and auditability benefits, the initiative would bring greater clarity to the carbon‑credit sector.
While blockchain remains on the government’s agenda, the second‑half strategy places a stronger emphasis on AI. The ministry has designated physical AI, AI data centres, and semiconductors as South Korea’s three national “mega projects.” Under the plan, the government will invest 800 trillion won (about $535.6 billion) to build semiconductor fabrication facilities in the country’s southwest, creating a second manufacturing base alongside existing plants in the capital region. Memory‑chip production capacity is expected to double within five years. Simultaneously, the country aims to establish a global AI hub to attract international organisations and multilateral development banks while expanding large‑scale AI data‑centre infrastructure.
The roadmap keeps blockchain development on the government’s agenda through new legislation, financial‑infrastructure pilots, and tokenisation projects, but places larger public investment behind the AI and semiconductor industries.
In summary, South Korea is advancing a comprehensive set of regulatory and pilot initiatives that cover stable‑coin rules, tokenised bonds, and spot crypto ETFs. The Digital Asset Basic Act and Capital Markets Act amendments are expected to provide a clearer legal environment for digital‑asset businesses. The 2027 CBDC‑linked bond pilot and Gyeonggi Province stable‑coin trial will test the practical use of blockchain in public finance. Meanwhile, the country’s AI and semiconductor mega‑projects will receive the bulk of the new investment, underscoring a balanced approach to technology development.
The next steps will involve the formal passage of the Digital Asset Basic Act, the implementation of the Capital Markets Act amendments, and the launch of the pilot programmes. Unresolved questions include the precise regulatory thresholds for stable‑coins, the technical details of the CBDC interoperability study, and the long‑term impact of the AI‑centric investment on the broader digital‑asset ecosystem.
The ministry’s announcement followed a State Council meeting and confirmed that blockchain projects will remain embedded in the national growth strategy. Officials said the government will back large‑scale pilot initiatives and encourage technologies that strengthen the digital‑asset ecosystem. Central to the agenda is the Digital Asset Basic Act, expected to create a legal framework for digital assets that includes conduct rules for businesses and standards for Korean‑won‑pegged stablecoins.
Beyond domestic regulation, authorities plan to lay a legal foundation for cross‑border stable‑coin transactions. The ministry also revealed amendments to the Capital Markets Act that would allow South Korea to launch its first spot cryptocurrency ETFs. These changes aim to align the country’s financial markets with global trends while safeguarding investor protection.
In 2027, a separate initiative will test tokenised government bonds linked to the Bank of Korea’s institutional central bank digital currency (CBDC). The pilot will examine how blockchain can issue, trade, and settle sovereign debt, and the Bank of Korea will study how the CBDC can interoperate with other blockchain networks.
Earlier this month, Gyeonggi Province confirmed an eight‑month proof‑of‑concept programme that will start in August to test a blockchain‑based stablecoin for regional currency and government payments. The project, led by blockchain security company ZKrypto, will run until February 2027. During its first stage, the pilot will evaluate stable‑coin issuance, circulation, and settlement before later assessing fraud prevention, privacy protections and public‑benefit payments. ZKrypto said the system will employ zero‑knowledge proofs to prevent double spending, while proof‑of‑reserve technology will verify reserve assets throughout the trial.
The ministry also announced plans to explore the management and trading of Global Voluntary Carbon Market credits on blockchain platforms in partnership with international organisations. By applying blockchain’s transparency and auditability benefits, the initiative would bring greater clarity to the carbon‑credit sector.
While blockchain remains on the government’s agenda, the second‑half strategy places a stronger emphasis on AI. The ministry has designated physical AI, AI data centres, and semiconductors as South Korea’s three national “mega projects.” Under the plan, the government will invest 800 trillion won (about $535.6 billion) to build semiconductor fabrication facilities in the country’s southwest, creating a second manufacturing base alongside existing plants in the capital region. Memory‑chip production capacity is expected to double within five years. Simultaneously, the country aims to establish a global AI hub to attract international organisations and multilateral development banks while expanding large‑scale AI data‑centre infrastructure.
The roadmap keeps blockchain development on the government’s agenda through new legislation, financial‑infrastructure pilots, and tokenisation projects, but places larger public investment behind the AI and semiconductor industries.
In summary, South Korea is advancing a comprehensive set of regulatory and pilot initiatives that cover stable‑coin rules, tokenised bonds, and spot crypto ETFs. The Digital Asset Basic Act and Capital Markets Act amendments are expected to provide a clearer legal environment for digital‑asset businesses. The 2027 CBDC‑linked bond pilot and Gyeonggi Province stable‑coin trial will test the practical use of blockchain in public finance. Meanwhile, the country’s AI and semiconductor mega‑projects will receive the bulk of the new investment, underscoring a balanced approach to technology development.
The next steps will involve the formal passage of the Digital Asset Basic Act, the implementation of the Capital Markets Act amendments, and the launch of the pilot programmes. Unresolved questions include the precise regulatory thresholds for stable‑coins, the technical details of the CBDC interoperability study, and the long‑term impact of the AI‑centric investment on the broader digital‑asset ecosystem.
