South Korea's ruling Democratic Party has unveiled a dual-path approach to stablecoin legislation, aiming to balance financial stability with technological innovation. The proposed legislation includes two separate bills: one aligning with the Financial Services Commission's preference for bank-led consortiums as primary issuers, and another innovation-focused bill allowing fintech and blockchain companies to issue stablecoins under modified regulations. This strategy addresses the tension between regulatory caution and technological advancement. The bank-centric bill prioritizes systemic stability, requiring bank-level capital ratios and mandatory bank custody for reserves. In contrast, the innovation-focused bill proposes a regulatory sandbox for fintech and blockchain startups, aiming to prevent regulatory arbitrage to more permissive jurisdictions. The Democratic Party plans to introduce these bills to the National Assembly in early 2025, with implementation expected in phases, potentially influencing South Korea's position in global digital asset governance.