Korea's digital economy, advanced payment systems bolster global crypto leadership

Maghnus Mareneck, co-CEO of Cosmos Labs, discusses how Korea can leverage stablecoins to strengthen its position in Asia's digital finance landscape.

Mareneck argues that Korea has the ideal foundation for stablecoin adoption with its digitized economy, advanced payment systems, and tech-savvy consumers. He believes Korea could position the won as a trusted regional settlement currency, following successful pilots in Japan that use yen-backed stablecoins for securities settlement. The key missing element is clear regulatory framework, which Mareneck expects could enable stablecoins to become core settlement infrastructure within five years.

• Japan's 2022 Payment Services Act offers a regulatory model that limits stablecoin issuance to licensed institutions while requiring full collateralization
• Project Trinity demonstrates stablecoins can support delivery-versus-payment settlement with atomic finality in capital markets
• The U.S. GENIUS Act provides comprehensive federal framework, showing major economies are embracing digital currency regulation
• Cross-chain connectivity will be crucial to prevent digital currency systems from becoming isolated "walled gardens"