South Korea Reviews Crypto Market-Making Rules After JPYC Spike

South Korea’s Financial Services Commission is reviewing whether to introduce a regulated market-making system for digital assets after JPYC, a yen-linked stablecoin, surged to more than four times its reference value during its debut on the Upbit exchange. The review is under consideration; the commission has not announced a formal proposal or changed the current rules. Upbit opened trading in JPYC on September 17 at about 12 won per token. The price reached 37.6 won roughly an hour later, a move reporting attributed to limited liquidity. JPYC is designed to track the Japanese yen, whose value was reported at about 8.8 won at the time. The exchange price later moved back toward the token’s reference value, according to reporting. Yoo Youngjoon, the FSC’s director of digital finance policy, said at a conference in Seoul that the commission would review whether systems such as market-making could improve efficiency and stability in digital-asset markets. He also cited criticism over user losses after the JPYC listing and said calls for greater discipline were growing. The remarks describe a review, not a decision to authorize market makers.