Bank of Korea Reinforces Stablecoin Stance Amid Deposit Token Pilots
Vexoda Newsroom
The Bank of Korea (BOK) has reaffirmed its support for bank-led won-stablecoin issuance and continues to advance deposit token pilots in South Korea, despite ongoing policy debates.
In a recent development, the Bank of Korea (BOK) reiterated its push for stablecoins denominated in the Korean Won to be issued through bank-led consortiums. This stance was highlighted during materials submitted by BOK officials to the National Assembly's finance committee, reinforcing their long-standing position that banks should retain majority ownership over such issuers.
The central bank’s comments come as deposit token pilots are advancing across various use cases in South Korea. These tokens represent commercial bank deposits and include plans for government subsidy payments, electric vehicle charging infrastructure, and broader real-world transactions. In April, BOK Governor Hyun-Song Shin expressed support for both stablecoins and Central Bank Digital Currencies (CBDCs).
The push by the BOK to keep won-stablecoin issuance under bank-led structures has been a contentious issue in South Korea’s digital asset bill discussions. The bill had repeatedly stalled due to disagreements on who should be allowed to issue these coins, with policymakers and industry groups divided over this matter.
Despite efforts to pass the Digital Asset Basic Act by the first quarter of 2026, progress has been hampered by various factors including geopolitical tensions (the US-Israeli war with Iran), local elections, and delays in reorganizing the Assembly’s committee structure. These challenges have led to a delay in the bill's timeline.
The BOK’s continued emphasis on bank-led stablecoins is seen as crucial for maintaining financial stability and regulatory oversight within South Korea’s digital asset ecosystem. However, this stance has not only slowed down legislative processes but also created uncertainty among market participants regarding future regulations.
Traders should closely monitor the progress of deposit token pilots and any updates from BOK officials on their implementation plans. Additionally, they should stay informed about potential changes to existing financial laws that could impact stablecoin issuance in South Korea.
Source: Cointelegraph. Summarized and rewritten by the Vexoda Newsroom. This is market news, not financial advice.