South Korea took a bold step into the global AI regulatory landscape on January 23rd, 2026, enacting the AI Basic Act what the government calls the world's first comprehensive framework for promoting artificial intelligence while embedding safeguards for transparency, safety, and ethics. The law, which passed the National Assembly late last year and took effect immediately, balances innovation incentives with consumer protections and has already put the spotlight on one of Korea's most successful cultural exports: webtoons.
The AI Basic Act mandates that companies developing or providing AI models and services must clearly disclose when content is AI-generated. This includes mandatory watermarks or labeling for generative AI outputs, with especially strict visible markings required for deepfake style media that could mislead viewers. For visual formats like webtoons, manhwa, animation, and digital comics, the law allows non-visible, machine-readable watermarks meaning readers won't see obtrusive stamps on every panel, but platforms and tools must embed metadata that detection systems can identify. The goal is to combat misinformation and preserve trust in creative works without crippling artistic workflows.
Individual creators using AI tools for personal projects are largely exempt from these obligations. The rules target companies: AI developers, service providers, and platforms that distribute or facilitate AI-generated content. Major Korean webtoon platforms Naver Webtoon, KakaoPage, Lezhin, and others along with global players like WEBTOON and Tapas that serve Korean users or operate in the market, may need to update their upload systems, add disclosure toggles, or implement UI notices when AI assistance is detected or declared.
Uncertainty lingers around what exactly counts as AI-generated. Partial use which is usually AI upscaling, background generation, inking assistance, coloring, or even reference image creation could potentially trigger disclosure if it materially contributes to the final work. The law does not yet provide granular definitions for creative sectors, leaving room for interpretation. Creators worry that overly broad enforcement could stigmatize legitimate AI-assisted workflows, while others see the transparency push as a net positive for distinguishing hand-drawn art from fully or heavily AI-produced pieces in a market increasingly flooded with synthetic content.
Another open question is the high-impact AI designation. The Act outlines stricter oversight for systems in high-risk areas like healthcare, finance, autonomous vehicles, and public safety. Webtoons aren't explicitly listed, but some industry analysts point out that cultural content can influence public opinion and mental health, potentially inviting future scrutiny. For now, most webtoon applications fall under general transparency rules rather than high-impact restrictions.
Enforcement of this law is deliberately soft during the first year. The government has committed to a grace period focused on guidance, consultation, and voluntary compliance rather than inspections or penalties. This breathing room gives platforms and creators time to adapt updating terms of service, training staff, or building disclosure features without immediate fear of fines. Still, the long-term signal is clear: South Korea wants to lead in ethical AI adoption, and its webtoon ecosystem, a multi-billion-dollar global industry, is a high-profile test case.
As webtoons continue dominating North American digital reading (WEBTOON alone boasts tens of millions of monthly users), South Korea's AI Basic Act could set a precedent. Other countries are watching closely to see the results. There are similar transparency laws that are under debate in the EU, Japan, and parts of the U.S. and the webtoon industry's response may influence how global platforms handle AI disclosure moving forward.
For now, creators and companies have a year to navigate the gray areas. The law doesn't ban AI in storytelling; it demands honesty about its role. In an industry built on imagination and craft, that balance between innovation and transparency will define the next chapter.
What are your thoughts on the new law? Do you think its a good thing or not? Leave us a comment with your thoughts in the comments section below!