PANews reported on April 21 that the Bank of Korea will actively participate in the formulation of stablecoin regulations to prevent monetary and financial stability risks. Stablecoins may affect monetary policy and transmit crypto risks to traditional financial markets. South Korea is developing a new legal framework with a focus on stablecoin regulation and transparency of crypto services. At the same time, the Bank of Korea is also testing its central bank digital currency (CBDC) and plans to conduct the second phase of trials in October.