Financial Services Commission (FSC) Chairman Kim Byung-hwan has expressed reservations about abolishing the "1 Exchange-1 Bank" rule for cryptocurrency exchanges, a key pledge of the People Power Party. Citing potential monopoly risks and anti-money laundering concerns, Chairman Kim indicated a need for further review. The current rule, established to address social issues, restricts each crypto exchange to partnering with only one bank. Abolishing it could lead to dominance by a few large virtual asset businesses, increasing the risk of market manipulation and financial instability. Furthermore, the FSC acknowledges the Bank of Korea's concerns regarding stablecoins. Institutionalization and regulatory coordination are expected to be discussed after June, within the context of a broader regulatory framework for virtual assets. The FSC aims to balance innovation in the crypto space with robust consumer protection and financial stability measures. ```