Korean Central Bank Wants Slow Rollout for Stablecoins

The Bank of Korea has reportedly called for a gradual introduction of won-pegged stablecoins.

The central bank’s senior deputy governor said Tuesday (June 24) that this slow rollout should begin with tightly regulated commercial banks.

“It is desirable to first allow banks, which are under a high level of regulations, to issue (won-based stablecoins) and gradually expand to the non-bank sector with the experience,” said Ryoo Sang-dai, whose comments at a press conference were reported by Reuters.

Ryoo added that introducing stablecoins could have a major impact on monetary policy and the transaction settlement system, echoing earlier concerns by the bank’s governor about capital flows. He also pointed to the need for a safety net to maintain a steady financial market and protect users.

The Reuters report notes that South Korean President Lee Jae Myung had campaigned to allow companies to issue won-based stablecoins, with his Democratic Party floating legislation to establish regulatory infrastructure and keep the country in the stablecoin adoption race.

Ryoo also said the Bank of Korea will work with major commercial banks to prepare a second test of its central bank digital currency (CBDC), as the new administration’s policy on the topic becomes more clear.

In other stablecoin-related news, PYMNTS wrote about the landscape surrounding the currency following the U.S. Senate’s passage of the Guiding and Establishing National Innovation for U.S. Stablecoins of 2025 Act (GENIUS Act) last week.

“The momentum behind the GENIUS Act is increasingly being taken as a sign of approval by the broader crypto and traditional financial spaces,” that report said.

For example, stablecoin issuer Circle has gone public on the New York Stock Exchange, while corporate interest in stablecoins has moved beyond the realm of the theoretical.

Major financial institutions including Bank of America, Wells Fargo and Citigroup, are looking into the launch of a jointly operated stablecoin, while JPMorgan recently announced plans to offer its own stablecoin, JPMD.

“Everybody’s jumping into stablecoins right now,” Brett McLain, head of payments and blockchain at Kraken, told PYMNTS.

Retail giants such as Walmart and Amazon are weighing the use of embedded payments powered by stablecoins, while global banks like Société Générale and Banco Santander are experimenting with cross-border liquidity management via on-chain dollar tokens.

“The passage of the GENIUS Act removes a major barrier to entry — legal risk — and adds institutional-grade legitimacy to what was once a speculative fringe technology,” PYMNTS wrote.