As legislation for a basic Blockchain act to foster domestic Blockchain technology and promote the industry overall is delayed, corporations operating businesses on a Blockchain basis say they are struggling. With no clear line between what is allowed and what is not, they say it is difficult to move projects forward.
The Basic Blockchain Act was discussed in the 21st National Assembly, but there was no progress. Former Democratic Party of Korea lawmaker Lee Sang-min in 2019 proposed the "Act on the Promotion and Fostering of Blockchain," which included definitions of Blockchain technology, the establishment of a basic plan for industry promotion, and the designation and development of research-and-development special zones. Later, former People Power Party lawmaker Lee Young and People Power Party lawmaker Chung Hee-yong in 2021 proposed a bill on the promotion of the Blockchain industry and technological development, but it was not substantively discussed and was scrapped with the end of the Assembly's term.
The Ministry of Science and ICT is preparing a government bill to foster Blockchain technology and promote the industry. To fill legal gaps not covered by the Virtual asset User Protection Act (virtual asset phase-one law), which took effect in Jul. 2024, it encompasses the overall Blockchain industry ecosystem. A Ministry of Science and ICT official said, "We are currently conducting policy research and are putting our utmost effort into preparing the government bill."
Blockchain operators said the lack of a bill creates many difficulties for corporate activity. Moon Young-bae, vice chairman of the Korea Blockchain Association, said, "Even when corporations discover excellent business models, they inevitably take a cautious approach because the lack of rules could lead to problems."
According to the "2025 Blockchain Industry Survey" published by the Korea Internet & Security Agency (KISA), which is under the Ministry of Science and ICT, a survey of corporations with Blockchain operations and 10 billion won or more in sales on needed government policies found that 87.9% answered "enactment of the Basic Blockchain Act."