South Korea continues to include blockchain and digital assets in its economic growth plan for the second half of 2026, with a focus on advancing regulations for stablecoins, tokenized government bonds, and spot crypto ETFs. However, overall policy priorities still place AI and semiconductors at a higher investment priority.
The Digital Assets Basic Law has been included in the planning.
Following the Monday cabinet meeting, South Korea’s Ministry of Economy and Finance stated that the government will continue to support large-scale blockchain pilot projects and promote the adoption of new technologies to enhance the country’s digital asset ecosystem.
The government also mentioned that it will advance the legislation of the Digital Assets Basic Act, which is expected to establish a foundational legal framework for digital assets, including standards for business conduct and Korean won-pegged stablecoins.
In addition to domestic regulations, South Korea plans to establish a legal framework for cross-border stablecoin transactions and supports amendments to the Capital Markets Act to pave the way for the launch of the first spot cryptocurrency ETFs.
The tokenized government bonds pilot is scheduled for 2027.
Regarding financial infrastructure, the South Korean government stated that a pilot program for tokenized government bonds related to institutional central bank digital currency (CBDC) projects will launch in 2027. The Bank of Korea will also study how CBDCs can achieve interoperability with other blockchain networks.
According to blockchain media NexBlock, the pilot, led by blockchain security company ZKrypto, is expected to run until February 2027. The first phase will test the issuance, circulation, and settlement of stablecoins, followed by an evaluation of features such as fraud prevention, privacy protection, and public welfare payments.
ZKrypto stated that the system will use zero-knowledge proofs to prevent double-spending and verify reserve assets during the pilot phase through reserve proof technology.
AI and semiconductors receive increased investment
The South Korean government also stated that it will explore collaborating with international organizations to manage and trade voluntary carbon market credits on a blockchain platform.
However, this second-half roadmap places greater emphasis on AI. South Korea has identified embodied AI, AI data centers, and semiconductors as three national "Mega Projects," and plans to invest 800 trillion won to build semiconductor manufacturing facilities in the southwest, creating a second manufacturing hub outside the capital region.
Officials also stated that South Korea's memory chip production capacity is expected to double within five years, while the country will establish a global AI hub by attracting international organizations and multilateral development institutions and continuing to expand large-scale AI data center infrastructure.