Bank of Korea's digital currency pilot lacked external oversight, Maeil Business reports

The Bank of Korea-led first-phase CBDC pilot test was carried out after only a preliminary security review, without formal inspections or checks, Maeil Business reported. According to data South Korea’s Financial Supervisory Service submitted to the office of Rep. Lee Heon-seung of the People Power Party, no separate security inspection or review by financial authorities was conducted during the three-month first-phase CBDC pilot program led by the Bank of Korea from April through June last year. After security concerns emerged during real transactions, the Bank of Korea moved to explain the issue in its results report. Criticism followed that the explanation amounted to self-assessment rather than independent third-party verification.