South Korea's Gyeonggi Province suspends its stablecoin application research project, awaitin

Gyeonggi Province, South Korea, has temporarily suspended its stablecoin adoption research project pending clarity on the Digital Asset Basic Act and the broader regulatory environment, though officials stressed the project has not been canceled. Launched in early July, the initiative aimed to explore using stablecoins for local currency, vouchers, and public subsidies, with plans to verify privacy protection, reserve backing, and double-payment prevention via zero-knowledge proofs and proof-of-reserves. Officials said the project has made no substantive progress since launch, and the first proof-of-concept originally planned for August was never an officially confirmed government schedule. Follow-up testing timelines will be renegotiated with the project executor, and the study's original February 2027 end date may also be pushed back. The pause signals how South Korea's pending stablecoin legislation is stalling subnational crypto initiatives, and watchers should track the Digital Asset Basic Act's legislative progress and any revised PoC schedule.