Summary
Bank of Korea Governor Shin Hyun-song told the National Assembly that won-based stablecoin legislation must move quickly, backing a bank-led consortium model where banks hold 50%+1 shares of stablecoin issuers. Shin emphasized that CBDC, deposit tokens, and private stablecoins will maintain a competitively complementary relationship. The Framework Act on Digital Assets (second-phase legislation) was promised by the government in Q1 2026 but delayed by international conflict, local elections, and disagreements on key issues including bank ownership requirements and equity regulation for crypto exchanges. Ten bills are pending in the National Assembly. The FSC favors a broader approach allowing fintech participation, citing MiCA and Japan as models.
Key Facts
- BOK Governor Shin: "won-based stablecoin system must be introduced quickly"
- Bank-led consortium model: banks hold 50%+1 shares of stablecoin issuers
- 10 bills pending in National Assembly on digital assets and stablecoins
- Government promised legislation by Q1 2026; delayed by US-Iran conflict, local elections
- KB Financial Group completed won stablecoin pilot in May 2026
- Shinhan, Hana, Woori banks running separate stablecoin pilots
- Circle and Tether have filed KRWT and WON TETHER trademarks in Korea
- Domestic stablecoin issuance remains illegal until Digital Asset Basic Act passes
- Passage expected: Q1 2027 at earliest
Why It Matters
South Korea's stablecoin legislation will determine the structure of one of Asia's most active digital asset markets. The bank-led vs. fintech-led debate mirrors global tensions between incumbent banks and crypto-native firms. The BOK's position — that CBDC, deposit tokens, and stablecoins can coexist — provides a framework for multi-layered digital currency architecture that other central banks are watching closely. The delay means foreign stablecoins (USDC, USDT) continue to dominate Korean on-chain activity without domestic competition.