South Korea considers market-making after yen stablecoin price spike
After JPYC, a yen-linked stablecoin, began trading on Upbit on September 17, its price rose from 12 Korean won to a high of 37.6 won within about an hour, roughly four times its intended yen-linked value. The surge reflected limited resting liquidity on the exchange rather than any change in the token's backing, highlighting order-book vacuum risks. South Korea's Financial Services Commission is reviewing whether to allow regulated market-making to tighten spreads and improve price efficiency, while also considering safeguards to separate legitimate liquidity provision from manipulation under existing law.
A yen stablecoin traded four times its peg after listing on Upbit
Context
A yen stablecoin moved far above its peg after listing on an exchange with thin…
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- Economic IndicatorIncreasing regulatory formalization of…Locked
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- Watch PointsFSC publishes a formal decision, draft…Locked
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