The Financial institution of Korea (BOK) is exploring the combination of central financial institution deposit tokens with public blockchain networks. Deputy Governor Lee Jong-ryeol outlined the financial institution’s imaginative and prescient throughout the ‘Blockchain Leaders Membership’ occasion on Tuesday.
“We’re contemplating a plan to hyperlink the Financial institution of Korea’s deposit tokens with the general public blockchain system,” Lee stated, in line with a News1 report.
He described state-backed deposit tokens as a “kind of stablecoin,” issued throughout the financial institution’s digital forex framework.
“These tasks are being promoted by the Financial institution of Korea as a financial and overseas alternate authority, with the goal of safely and soundly growing the digital forex ecosystem from a nationwide perspective.”
Additional, Lee famous that the tokens might doubtlessly function alongside privately issued stablecoins throughout the crypto ecosystem.
Inflow of World Stablecoins is Regarding: BOK Deputy Governor
As reported by Cryptonews, stablecoins drove round 47% of South Korea’s Q1 crypto outflows. Stablecoins pegged to the U.S. greenback, akin to USDT and USDC, made up 26.87 trillion received (USD $19.1 billion) or 47.3%.
South Korean merchants favor stablecoins attributable to their value stability, which permits them to entry overseas crypto markets like Binance.
Greenback-pegged stablecoins like USDT and USDC accounted for 26.87 trillion received of South Korea’s crypto outflows in Q1 2025. Are stablecoins driving the surge in world crypto buying and selling?#Stablecoins #SouthKoreahttps://t.co/9DT0K4IsBz
— Cryptonews.com (@cryptonews) Could 8, 2025
Financial institution of Korea deputy governor Lee known as the inflow of worldwide stablecoins “regarding.” He added that if stablecoins are used as an alternative choice to forex, it could result in issues, together with violation of financial sovereignty, monetary instability and cash laundering.
Additional, main authorized and monetary specialists have warned political leaders that stablecoin adoption might pose a hazard to the South Korean financial system.
On the worldwide entrance, stablecoin development has reached new heights. As an illustration, its whole market worth surpassed $230 billion in March 2025. At press time, the entire stablecoin market stands at $247.483 billion, which is up $3.537 billion over the previous week.
The Tuesday’s occasion noticed attendance from key authorities officers and several other representatives of main digital asset exchanges, together with Bithumb, Coinone, Korbit, amongst others.
Is Korean Gained-Backed Stablecoin Coming Quickly?
Earlier, South Korea’s opposition chief, Lee Jae-myung, touted the launch of Korean won-backed stablecoin. He proposed that the stablecoin would stem the 56.8 trillion received ($40.8 billion) crypto outflow and cut back dependence on overseas non-public stablecoins.
Jae-myung, the frontrunner within the South Korean presidential elections, has been pressured by lawmakers over fast-tracking the rollout of a KRW stablecoin.
Min Byoung-dug, a lawmaker for the Democratic Occasion and the chairman of the occasion’s Digital Asset Committee, not too long ago stated that the nation must “take the lead in institutionalizing stablecoins” earlier than the USD-backed stablecoins turn into outstanding.
“That’s the solely approach we are able to safe a positive place within the world battle for stablecoin hegemony,” Min stated final week.
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