AgentFlareNewswire · Crypto · Mon, Oct 12, 2026
Bank of Korea governor says private firms, not the central bank, should run stablecoins
Testifying to lawmakers on October 12, 2026, the Bank of Korea's governor said stablecoins belong in the private sector while the central bank advances Project Hangang. He also flagged risks in dollar-stablecoin crypto cards.
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Bank of Korea backs private stablecoins, warns on overseas crypto cards
At a parliamentary audit in Seoul on October 12, 2026, Bank of Korea Governor Hyun Song Shin said stablecoins should be issued and operated by private companies, while the central bank keeps a voice on monetary stability and payments. He separated them from Project Hangang, which pairs institutional digital currency with deposit tokens run by commercial banks, and said general-purpose retail CBDCs have not been considered since 2023. Responding to lawmaker Kim Nam-joon, the governor also said crypto cards built on dollar stablecoins carry risks, including regulatory arbitrage, higher fees and limited protection if issuers fail or are hacked. He pledged close monitoring with other agencies.
Why it mattersSeoul is drawing a line between private stablecoin issuers and central bank settlement rails, which shapes who can build dollar-token payment products in Korea.
FSB warns stablecoin oversight across borders is still immature ahead of G20
In a letter published on October 12, 2026, Financial Stability Board Chair Andrew Bailey told G20 finance ministers and central bank governors that cross-border mechanisms for stablecoin oversight and crisis management remain immature or undeveloped. The FSB's 2025 review found 11 of 28 surveyed jurisdictions had finalized stablecoin frameworks. An accompanying report warned that runs could spill into traditional markets through forced sales of reserve assets and bank deposit withdrawals, and flagged redemption risks for multi-issuer coins. The letter also urged support for newly finalized practices on responsible AI adoption, citing cyber threats to critical financial infrastructure.
Why it mattersGaps in global stablecoin rules and reserve-run risks could drive tighter supervision of issuers and reserve assets, affecting anyone holding or building on stablecoins.
Bitcoin holds near $83,000 as ETF outflows and macro data loom
Bitcoin traded around $83,000 to $84,000 on October 12, 2026, with a late spike on Sunday nearly pushing it past $84,000. Coinglass data showed over $166 million in liquidations in 24 hours, mostly shorts, and the Fear & Greed Index read greed. Analyst Daan Crypto Trades said bulls need to push from this area, or a loss could bring a test of the mid $70,000s. Spot Bitcoin ETFs recently saw $681 million of outflows, the largest since June. Another report put Bitcoin about 34% below its all-time high of $126,080.
Why it mattersBitcoin is sitting on a closely watched support zone, with ETF flows and inflation data likely to decide whether it holds.
Starknet's STRK jumps 82% on talk of a standalone Layer 1
Starknet's STRK token was the top performer of the past week, rallying 82% as the network weighs moving from an Ethereum Layer 2 to its own Layer 1. Its market capitalization rose from $360 million to $807 million over four days, with most gains over the weekend after Starknet outlined a long-term plan to protect the protocol against quantum threats. CEO Eli Ben-Sasson said a Layer 1 would give control over security migrations rather than waiting for Ethereum or Bitcoin to move first. Bitcoin and Ethereum lagged over the same period.
Why it mattersA Layer 2 considering independence over post-quantum security shows how quantum risk is starting to influence infrastructure decisions and token valuations.
French committee backs tax on crypto-to-stablecoin swaps from 2027
On October 7, 2026, the finance committee of France's National Assembly adopted an amendment to the 2027 budget bill, proposed by deputy Nicolas Sansu, that would treat swaps from crypto into stablecoins as taxable events starting January 1, 2027. Gains would be calculated in euros at the time of the swap, with no holding-period exemption. A second amendment adopted the same day would let crypto losses be carried forward for ten years. Both still need approval from the full National Assembly and the Senate. Germany, by contrast, exempts gains on assets held over one year.
Why it mattersBusinesses using stablecoins for treasury or payments may face new tax events and documentation burdens in France, and rules diverge from Germany's.
Rain applies for national trust bank charter as ICBA challenges OCC authority
Crypto card issuer Rain announced an application to the OCC to form Rain National Trust Bank, to be headquartered in New York, with former Square Financial Services CFO Brandon Soto named as proposed president and CEO. If approved, it would offer fiduciary custody of digital assets and US dollars, reserve management for permitted stablecoin issuers, and issuance and redemption of dollar-backed stablecoins for institutional clients. The filing comes despite a legal challenge filed last week by a banking trade association, the ICBA, which argues the OCC lacks authority to grant such charters under the major questions doctrine.
Why it mattersThe lawsuit could decide whether stablecoin and payments firms can obtain federal trust charters, a key route to regulated custody and issuance in the US.
Data behind the stories
Bitcoin trades at $83,691, up 0.93% in 24 hours but down 3.24% over seven days, in line with the narrow range described near $83,000. Ethereum is at $2,535 and XRP at $1.41, down 7.02% and 7.28% on the week, while Solana at $111.25 is down 8.45%.
What to watch
- G20 finance ministers and central bank governors meet Thursday, with the FSB letter on stablecoin and AI risks submitted ahead of the session. tradingview.com
- September consumer price data is due Wednesday and producer price data Thursday, both closely watched by crypto traders. es.tradingview.com
- France's stablecoin swap tax amendment still needs votes in the full National Assembly and the Senate before its proposed January 1, 2027 start. onesafe.io
Key takeaways
- The Bank of Korea says private firms should operate stablecoins, while the central bank focuses on Project Hangang and interbank settlement.
- The FSB says cross-border stablecoin oversight remains immature, and 11 of 28 surveyed jurisdictions had finalized frameworks in its 2025 review.
- Bitcoin is defending the $83,000 area, and analysts see the mid $70,000s as the downside target if it breaks.
FAQ
Will the Bank of Korea issue its own stablecoin?
No. At an October 12, 2026 parliamentary audit, the governor said stablecoins should be handled by the private sector. The central bank will continue Project Hangang, which combines institutional digital currency with deposit tokens from commercial banks.
What stablecoin risks did the FSB highlight?
The FSB said stablecoin runs could spill into traditional markets through forced sales of reserve assets and bank deposit withdrawals. It also flagged multi-issuer coins, where redemption demand may hit one issuer while reserves sit in different jurisdictions.
What is France proposing for crypto-to-stablecoin swaps?
A committee-approved amendment would make swaps from crypto into stablecoins taxable from January 1, 2027, with gains measured in euros and no holding-period exemption. It still needs approval from the full National Assembly and the Senate.
The wire
Every item considered for this digest, newest first — published within 48h of 2026-10-12 23:59 UTC.
- Bank of Korea won't issue stablecoins: Here's why crypto.news · 2026-10-12 06:40
- Global watchdog flags stablecoin risks, AI threats ahead of G20 — TradingView News tradingview.com · 2026-10-12 06:30
- Bitcoin, Ethereum Struggled Last Week, But This Token Doubled Its Market Cap in 4 Days on Layer-1 Buzz benzinga.com · 2026-10-12 05:38
- South Korea's BOK Chief Shin Hyun-song Flags Risks in Dollar-Stablecoin-Based Crypto Cards, Vows Close Monitoring — BigGo Finance finance.biggo.com · 2026-10-12 05:05
- Should You Buy Bitcoin or XRP Right Now? The Case for Each finance.yahoo.com · 2026-10-12 05:00 · +1 outlets
- Bitcoin, Ethereum, XRP, Dogecoin Rise as ‘Greed’ Persists: Analyst Says BTC Bulls Must Get ‘Moving’ From This Area — Noticias de TradingView es.tradingview.com · 2026-10-12 05:00
- MARKET ANALYSIS bitcoinke.io · 2026-10-12 05:00
- Bitcoin Could Be Entering a New Bull Market Despite Latest Sell-Off beincrypto.com · 2026-10-12 05:00
- Stablecoin Regulation: France to Tax Swaps from 2027 onesafe.io · 2026-10-12 05:00
- OCC’s Stablecoin Trust Bank Charters Violate “Major Questions Doctrine,” ICBA Suit Argues fintechbusinessweekly.substack.com · 2026-10-12 05:00
- BOK Governor Rhee Flags Risks of Overseas Crypto Cards Evading Rules, Vows Close Monitoring en.bloomingbit.io · 2026-10-12 02:15
- Bitcoin rises 1.37% to $84,186 despite overall ... pluang.com · 2026-10-12 00:00
How this digest is made. Headlines and article text come from the AISA Financial News and Tavily APIs; only items published in the last 48 hours are eligible, and duplicates across outlets are merged. A language model writes the summaries strictly from those texts and the live market data shown — every story links to its sources. Market data: AISA Financial, CoinGecko, Polymarket and Macro APIs.
Sources & citations
- Bank of Korea won't issue stablecoins: Here's why crypto.news · 2026-10-12
- South Korea's BOK Chief Shin Hyun-song Flags Risks in Dollar-Stablecoin-Based Crypto Cards, Vows Close Monitoring — BigGo Finance finance.biggo.com · 2026-10-12
- BOK Governor Rhee Flags Risks of Overseas Crypto Cards Evading Rules, Vows Close Monitoring en.bloomingbit.io · 2026-10-12
- Global watchdog flags stablecoin risks, AI threats ahead of G20 — TradingView News tradingview.com · 2026-10-12
- Bitcoin, Ethereum, XRP, Dogecoin Rise as ‘Greed’ Persists: Analyst Says BTC Bulls Must Get ‘Moving’ From This Area — Noticias de TradingView es.tradingview.com · 2026-10-12
- Bitcoin rises 1.37% to $84,186 despite overall ... pluang.com · 2026-10-12
- Should You Buy Bitcoin or XRP Right Now? The Case for Each finance.yahoo.com · 2026-10-12
- Bitcoin, Ethereum Struggled Last Week, But This Token Doubled Its Market Cap in 4 Days on Layer-1 Buzz benzinga.com · 2026-10-12
- Stablecoin Regulation: France to Tax Swaps from 2027 onesafe.io · 2026-10-12
- OCC’s Stablecoin Trust Bank Charters Violate “Major Questions Doctrine,” ICBA Suit Argues fintechbusinessweekly.substack.com · 2026-10-12