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South Korea plans to bring government-owned virtual assets into a new national asset management framework as part of its first broad overhaul of state property rules in 76 years.
The Ministry of Economy and Finance disclosed the proposal on July 15. The planned National Asset Basic Act would replace a system built largely around land and buildings with rules covering newer forms of state-held value.
New Law Covers State-Held virtual Assets and IP
The current State Property Act was enacted in 1950, when the government’s asset base consisted mainly of real estate. Officials said applying property-focused rules to cryptocurrencies, intellectual property and other intangible assets limits how those holdings can be valued and managed.
The proposed law would establish separate management standards for different asset classes. It would apply to virtual assets held by the state, rather than classifying privately owned cryptocurrencies as government property.
South Korea has not published draft legislation or detailed rules explaining how state-owned tokens would be stored, valued or disposed of. The plan also leaves open which agencies would control wallets and approve transactions.
Government Targets Active Management of ₩1,400T Portfolio
South Korea holds more than 1,400 trillion won, or roughly $1 trillion, in state assets. The government wants to shift from preserving or selling those holdings toward development and active management intended to generate public value.
The framework would connect asset information held by the central government, local authorities and public institutions. Officials also plan to replace a full state property survey conducted every five years with an annual review.
AI Database Work Begins Before 2027 Cloud Plan
An artificial intelligence-backed database is expected to support the new asset-management system. The government plans to introduce an internal legal interpretation chatbot this year.
It also plans to prepare the information strategy for a dedicated K-Asset Cloud database in 2027. The system is intended to give officials a clearer view of state-held assets across agencies and public bodies.
Tokenization Plans Remain Separate Policy Tracks
The overhaul extends beyond cryptocurrencies already held by public bodies, but some related plans remain separate from the proposed law. South Korea is examining security token offerings tied to state-owned real estate, with investment returns potentially shared with participating members of the public.
The government also plans to test deposit tokens for public expenditure to improve tracking and reduce improper claims. Initial trials will cover selected uses such as electric vehicle charging infrastructure and official operating expenses.
Draft Bill Will Define Crypto Management Rules
The National Asset Basic Act remains a policy proposal and must pass through drafting and parliamentary approval before taking effect. The next step is publication of the bill.
That text will determine how virtual assets are defined, which state entities will manage them and what controls will apply to storage, valuation and disposal.
