The Bank of Korea renewed its support for bank-led won stablecoins as South Korea’s digital asset bill faced fresh delays. The central bank also outlined wider deposit-token tests for public payments and government services under review.
The position appeared in materials sent Thursday to the National Assembly’s finance committee, according to a local media report from Digital Asset. The Bank of Korea said won-based stablecoins should first be issued through bank-led consortiums.
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How Bank of Korea’s Stablecoin Plan Split Policymakers
The central bank urged more security measures prior to issuing. It suggested first dibs on the groups affiliated with banks and also an official policy-making organization that consists of related agencies.
These steps will be taken in order to ensure that won stablecoins stay in the sphere of regulated finances. According to the Bank of Korea, it promotes market stability.
This approach has been the key issue in South Korea’s discussion regarding stablecoins. The Bank of Korea has been promoting the idea of banks owning the majority stake of the issuers. This opinion split up the representatives of lawmakers, regulators, and digital asset companies.
It has also been the cause of delays in passing the Digital Asset Basic Act. The bill has faced repeated delays due to disputes over issuer eligibility.
Lawmakers have not resolved whether non-bank companies should be allowed to issue won-denominated stablecoins.
Bank of Korea Plans to Expand Deposit Token Pilots
The Bank of Korea also intends to go ahead with deposit-token pilot schemes in the latter half of the year. They include possible applications such as government subsidies, vouchers, charging stations for electric vehicles, and real-world payments for the public.
Deposit tokens will serve as digital forms of commercial bank deposits. The central bank approved their use as a tool for testing digital money within the banking system. This method is different from broader stablecoin issuance by non-central institutions.
Governor Hyun-Song Shin praised deposit tokens and central bank digital currencies in his first speech in April. During the same month, the Ministry of Economy and Finance announced the pilot for tokenized deposits in government operational spending.
Why South Korea’s Digital Asset Bill Still Faces Delays
In April, South Korea’s governing Democratic Party offered to regulate stablecoins and tokenized assets under the current legislation on finance. However, the proposal failed to resolve the key conflict related to issuer control. The bank-led approach is still under consideration.
The government earlier told President Lee Jae-myung that it aimed to complete the framework by the end of Q1 of 2026. However, it has been delayed due to the US-Israeli war with Iran, local elections, and the postponement of restructuring in the Assembly committee.
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