Circle Says It Won’t Issue Won Stablecoin in South Korea, Focuses on Local Partnerships

‘Won stablecoin would be difficult to issue’

Focus on technology partnerships with Korean companies

Tie-ups with local exchanges including Dunamu and Bithumb

Talks with financial firms on cross-border payments and RWA

Circle Internet Group, the issuer of the global stablecoin USDC, said it will focus on entering South Korea through technology partnerships with local companies rather than directly issuing a won-denominated stablecoin.

At a closed-door press briefing at SJ Kunsthalle in Seoul’s Gangnam district on June 13, Chief Executive Officer Jeremy Allaire said Circle has no current plans to issue a won stablecoin in South Korea. Given the country’s regulatory environment and the structure of its financial system, a consortium led by domestic banks or fintech companies would be a more suitable model, he said.

Allaire said stablecoin rules vary by jurisdiction. Europe has passed legislation allowing non-bank companies to issue stablecoins, while South Korea’s financial system and legal requirements make a locally led model centered on financial institutions more appropriate, he said.

He added that Circle is closely watching discussions around South Korea’s proposed Digital Asset Basic Act, known as the second phase of the country’s virtual-asset legislation. The company is evaluating what structure would be most appropriate for its business in Korea and is reviewing bills that would set the regulatory framework for foreign stablecoin issuers.

Allaire described Circle’s role in the Korean market as a technology partner. The company has one of the world’s most successful stablecoin operating platforms and deep expertise in blockchain integration, he said. A partnership model that provides technical support to Korean companies seeking to put the won on-chain is far more likely.

Circle also signed cooperation agreements on June 13 with major South Korean crypto exchanges including Dunamu, the operator of Upbit, and Bithumb, marking a broader push into the Korean market. The partnerships are aimed at expanding USDC adoption on local exchanges and pursuing a range of technical collaborations.

Earlier in the day, Allaire met with officials from major Korean financial groups including Shinhan, Hana and KB. The talks covered ways to improve cross-border payments using stablecoins and technical support needed for potential won stablecoin issuance, he said. Financial companies showed particularly strong interest in real-world asset tokenization, or RWA, according to Allaire.