Korea Capital Market Institute

A Critique on the Trump Administration’s Stablecoin Promotion Policy [Senior Research Fellow] Shin, Bosung / Apr. 01, 2025 The Trump administration has publicly expressed its intention to promote privately issued stablecoins. However, allowing the private sector to issue stablecoins effectively entails transferring the sovereign privilege of money creation—traditionally an exclusive function of the state—into private hands, leading to potential side effects. When private entities are granted the po... Short Selling Resumption in Korea: Regulatory Reform and Market Implications [Senior Research Fellow] Hwang, Seiwoon / Apr. 01, 2025 Short selling of listed stocks is set to resume on March 31, 2025. Since short selling became a prevalent trading practice in Korea in the 2000s, there have been four complete short-selling bans in the Korean market. While the bans imposed in 2008, 2011, and 2020 were primarily aimed at stabilizing the market amid severe financial crises, the 2023 ban differs significantly in t... The Rise of Marginal Firms and the Implications of Stricter Delisting Criteria [Research Fellow] Lee, Sang Ho / Mar. 18, 2025 The recent reform announced by financial authorities to tighten delisting requirements represents a meaningful step toward restoring market confidence while facilitating the timely exit of marginal firms. This initiative aims to enhance capital market integrity by reducing inefficiencies in the delisting system. Notably, restricting firms with non-clean audit opinions to a sing... Korean Won Internationalization: Assessing Benefits, Risks, and Implications [Senior Research Fellow] LEE, Seungho / Mar. 18, 2025 Since the opening of its capital markets, Korea has significantly enhanced its foreign exchange crisis response capabilities over the past 30 years, evolving into a capital-exporting country. However, its outdated regulatory framework continues to prevent the Korean won from functioning as an internationally convertible currency, limiting the country’s ability to fully capitali... Assessing Income and Asset Adequacy for Korea’s Elderly Households: Implications and Policy Challenges [Research Fellow] Kim, Minki / Feb. 18, 2025 Contrary to intuitive expectations, elderly households in Korea exhibit a disproportionately greater reduction in consumption relative to their income decline while preserving their asset holdings. This trend can be attributed to insufficient retirement assets, difficulties in generating stable post-retirement cash flows, and rising longevity risks. Based on the analysis of Kor...