Bank of Korea official: Won stablecoin should start with banks, expand later

Lee Byung-mok, director of the Bank of Korea’s Payment & Settlement Systems Department, said at a forum on Aug. 12 that issuance of a South Korean won-denominated stablecoin should start with banks and later expand to non-bank participants through a consortium model, Edaily reported. He cautioned that allowing large corporations or big tech firms to issue stablecoins could effectively let them take deposits by sidestepping existing banking and electronic finance laws, potentially violating Korea’s principle of separating banking from commerce.