South Korea Creates Crypto Committee as Stablecoins Gain Momentum
South Korea’s central bank, the Bank of Korea (BOK), is stepping up its role in shaping the nation’s digital finance future. A newly formed Virtual Asset Committee will now oversee the crypto market, coordinate with lawmakers, and support the development of central bank digital currency (CBDC).
A BOK official confirmed the committee’s focus will include stablecoins and crypto-related regulation. The move coincides with South Korea’s growing interest in won-pegged stablecoins, currently being explored by major domestic banks.
CBDC Development Teams Realigned
The BOK has also restructured its digital currency units to reflect a more hands-on, deployment-focused mission. The once-theoretical Digital Currency Research Team has been renamed the Digital Currency Team, with a new emphasis on real-world application and development.
Two additional specialized teams now support this mission:
- The Digital Currency Technology Team will focus on research and technical assessments of digital currency systems.
- The Digital Currency Infrastructure Team is tasked with developing platforms for digital vouchers and deposit-token systems.
These changes show the BOK’s serious commitment to transitioning digital currency concepts into functioning financial tools integrated with the national economy.
Retail CBDC Test Delayed Amid Legal Ambiguity
Although South Korea has made strong strides in digital currency research, its latest retail CBDC pilot, originally set for April 2025, has been delayed until June. This is partly due to government preference for locally issued stablecoins and commercial bank concerns over implementation costs.
BOK officials have stated that testing will resume once legal uncertainties are addressed.
Banks Favor Stablecoins Over CBDCs
Stablecoins appear to be winning favor. In June, eight top South Korean banks revealed plans to launch won-backed stablecoins between late 2025 and early 2026. BOK Deputy Governor Ryoo Sang-dai has publicly supported banks leading this initiative, noting potential for stablecoin use beyond banking in future sectors.
Pro-Crypto Government Accelerates Innovation
South Korea’s pro-crypto president, Lee Jae-myung, continues to push digital finance innovation. His administration supports both crypto ETFs and stablecoin development, encouraging regulations that balance safety with innovation.
BOK Governor Lee Chang-yong also acknowledged the inevitability of digital currency adoption, whether in the form of a CBDC or stablecoin.
With these developments, South Korea is advancing steadily toward a digitized financial system that integrates blockchain and virtual assets more deeply into its national economy.
