The Financial Services Commission (FSC) has conducted an analysis of the virtual asset market, highlighting its potential impact on financial stability and the need for a refined regulatory framework. According to Director Lee Hyun-deok of the Virtual Asset Supervision Bureau, the virtual asset market's influence on financial stability is currently limited but is anticipated to expand in the future. He emphasized that South Korea's regulatory system is still in its early stages, and discussions on its refinement are expected to continue. Market participants may perceive this situation as regulatory uncertainty, which could hinder innovation. The FSC acknowledges the need to strike a balance between fostering innovation and ensuring financial stability. The ongoing analysis and discussions aim to establish a comprehensive regulatory framework that supports the responsible growth of the virtual asset market while safeguarding the interests of investors and consumers.