- The Bank of Korea is launching a committee to monitor the crypto market and address stablecoin discussions
- The central bank has renamed its CBDC team to reflect a more business-oriented focus, actively exploring digital currency initiatives
- South Korean banks plan to introduce won-pegged stablecoins, with significant developments expected in late 2025 or early 2026
The Bank of Korea (BOK) is set to launch a Virtual Asset Team as part of its strategy to monitor the crypto market and actively engage in discussions around stablecoins and virtual assets. This move comes as the central bank seeks to align with the evolving landscape of digital currency and regulatory frameworks.
According to reports from Yonhap News, the new team will focus on stablecoins and virtual assets, cooperating with the government on the legislative process. The decision follows growing interest in stablecoins pegged to the Korean won, and the introduction of proposed stablecoin legislation by South Korean lawmakers. This legislative focus is a key driver behind the establishment of the team.
Renaming of CBDC teams reflects shift in focus
The Bank of Korea has also made significant changes to its central bank digital currency (CBDC) research team. The former Digital Currency Research Team has been renamed to the “Digital Currency Team” to signify its shift from theoretical research to actively exploring digital currency initiatives.
Further restructuring includes the creation of the Digital Currency Technology Team, tasked with research and investigation into digital currency technologies, and the Digital Currency Infrastructure Team, which will focus on developing a platform for digital vouchers based on deposit tokens and managing testing environments.
Korean banks set to launch stablecoins amid regulatory changes
South Korea’s central bank has also faced some delays, such as postponing its CBDC test phase. Initially scheduled from April to June 2023, the test was delayed due to concerns over its cost and the country’s shifting stance toward local currency-backed stablecoins. Despite this, the Digital Currency Team remains committed to progressing with CBDC-related projects, with hopes to resume discussions once legal uncertainties are cleared.
Meanwhile, major South Korean banks have revealed plans to launch their own won-pegged stablecoins by late 2025 or early 2026. BOK Deputy Governor Ryoo Sangdai has expressed support for banks leading the issuance of stablecoins, with gradual expansion into other sectors in the future.
