South Korea is setting the stage for a major revival of the country’s digital asset landscape. The Financial Services Commission (FSC) is unveiling a new roadmap that is paving the path for improved stablecoin regulations and introducing spot crypto exchange-traded funds (ETFs) by late 2025.

According to the report by Yonhap News, the country’s top financial regulator submitted its plans to the Presidential Committee on Policy Planning this week. The shared bill outlines the development of a comprehensive legal and technical framework to support the launch of spot crypto ETFs, along with rules for fund structuring, pricing, custody, and investor protection.

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South Korea Pushes for ETF and Stablecoin Regulations

The ambitious move by the Financial Services Commission (FSC) brings South Korea’s crypto regulations in line with the global standards. The authorities are concerned that the Asian tech giant could fall behind the more progressive financial hubs of the world. Subsequently, the newly proposed strategy reflects the increasing pressure from the domestic crypto investors and advocates.

The new bill aligns perfectly with the promises made by newly elected President Lee Jae-myung during his presidential campaign. Among his many promises was his promise to legalize spot crypto ETFs, as well as the creation of a unified oversight system that will improve market transparency and investor protection.

Important Reads: South Korea Moves Toward Stablecoin Legalization with New Crypto Bill

The proposed roadmap not only tackles ETFs but also takes into consideration the regulation of Korean Won-based stablecoins. The FSC plans to introduce bills that also cover the management and issuance of digital assets. These bills will also strengthen the rules for listing and disclosure requirements across crypto exchanges. Additionally, local service providers will face stricter operational standards.

The FSC is also proposing to impose tougher enforcement measures to crack down on misconduct. These measures will include permanent bans as well as hefty fines for entities or individuals engaged in illegal crypto activities.

A highlight feature of the roadmap is its sharp focus on consumer fairness. Soon, local exchanges may be required to reduce trading fees on their platform and may have to publicly disclose comparative fee structures. This measure reflects President Lee’s earlier commitment to cut average transaction fees from 0.05% to 0.015% to support younger, cost-conscious traders.

Despite the roadmap’s bold vision, the FSC clarified that the proposals are not yet finalized. The plan is currently under review, with further consultations expected before any formal implementation begins. If enacted, the reforms could place South Korea at the forefront of Asia’s regulated crypto market, a move poised to reshape the financial future of one of the world’s most digitally connected nations.