Bank of Korea Pushes Bank-Led Model for Won Stablecoins

Exchanges that list won stablecoins would face due diligence on the issuer's bank-led consortium status and the statutory policy body's oversight. The Bank of Korea said the policy body would include the central bank and the Financial Services Commission, with the Financial Supervisory Service also represented. That structure mirrors the existing coordination between regulators for the broader crypto market.

The bank-led model could push some won stablecoin projects to other jurisdictions, similar to how Asia's crackdown on prediction markets sends volume West redirected capital flows. Issuers that cannot meet the consortium requirement may shift to foreign jurisdictions or use other stablecoins pegged to the dollar rather than the won.

The central bank's emphasis on a statutory policy body also points to deeper coordination on monetary policy. A won stablecoin, even if bank-issued, could affect domestic money supply and payment system stability. The Bank of Korea wants direct oversight, not just indirect supervision. The July 9 submission said the policy body should have the power to approve or reject issuance plans and set reserve requirements, with the authority to suspend operations if needed.

No specific banks have been named as lead issuers. The consortium approach suggests multiple banks could collaborate on a single won stablecoin. South Korea's top four commercial lenders – KB Kookmin, Shinhan, Hana, and Woori – all have digital asset custody or tokenization experiments. Any one of them could anchor a consortium.

Trade groups representing fintechs and crypto exchanges have pushed back on the bank-led model, arguing it concentrates power and stifles innovation. The National Assembly committee has not yet scheduled a hearing on the bill. The Bank of Korea's submission makes clear that stability and legal clarity, not speed of adoption, are the priorities.