COINOTAG News reports that, as of December 30, South Korea’s government is drafting the Digital Asset Basic Law (also known as Virtual Asset Act 2) to strengthen investor protection in the crypto market. The proposed framework would impose no-fault liability on digital asset operators and implement bankruptcy risk isolation for stablecoin issuers. It would require issuers to park reserve assets with banks or other qualified custodians and to deposit or trust more than 100% of the issuance balance. However, significant divergences between the Financial Services Commission (FSC) and domestic banks over core issues such as issuer designation and regulatory authority have pushed the proposal’s submission to next year. The FSC says it is actively working to narrow these gaps through ongoing stakeholder engagement to finalize a robust framework.
Source: https://en.coinotag.com/breakingnews/south-korea-advances-digital-asset-basic-law-2-for-stablecoins-100-reserves-and-no-fault-liability
