Hashed Open Research Says Won Stablecoins Need Settlement Rails, Digital ID to Compete in AI Payments

Won-backed stablecoins will need dedicated settlement rails and a digital identity verification system to remain competitive as the AI-driven "agent economy" takes shape, Hashed Open Research, or HOR, said on August 12.

In a recent report titled "Strategies for Won Stablecoins in the Age of the Agent Economy," HOR said competition in the global stablecoin market is moving beyond issuance and toward control of payment, settlement and distribution infrastructure.

Global firms are already speeding up vertical integration by combining stablecoin issuance with payment infrastructure. Stripe has bolstered its payment and settlement capabilities through a series of acquisitions of blockchain infrastructure companies. Circle, the issuer of the dollar stablecoin USDC, is also expanding into settlement by building its own blockchain payments network, Arc.

Given those shifts, HOR said the stablecoin industry's profits and influence are more likely to concentrate with companies that control settlement and distribution networks than with issuers themselves. Issuance is exposed to regulation and interest-rate changes, while issuers also have to share a significant portion of reserve-asset income with distribution partners.

HOR said South Korea's policy debate should expand beyond the question of who will issue won stablecoins. It should also address how reserve-asset income will be allocated, how much bargaining power distribution companies may gain, and how decision-making on access to and operation of settlement networks should be designed.

The report also highlighted the dominance of dollar-based stablecoins in AI agent payments. It said about 98.6% of AI agent payments are currently processed with dollar-based stablecoins, a structure that emerged as the dollar became the default payment method in the early development environment.

HOR said South Korea needs to begin serious discussions on which currencies and infrastructure AI agents will use for payments and settlement before a dollar-centered payment system becomes entrenched. It also pointed to signs that, while rules are still being developed, some won-linked asset issuance and pilot projects by domestic companies are already relying on overseas infrastructure, including foreign corporations, foreign blockchains and dollar-based stablecoins.

The report also identified systems capable of verifying AI agents' identities as critical infrastructure. For AI to carry out transactions on behalf of people, there must be a way to confirm that authority was lawfully delegated by the user. Responsibility must also be clearly established if problems arise during a transaction.

HOR said South Korea could gain a competitive edge in setting standards for the AI agent payments market by linking its electronic signature and real-name financial verification systems with blockchain-based identity technology.

Current discussions in South Korea remain focused on the general-purpose payments market already captured by the dollar and on competition among issuers in a low-margin business, a HOR official said. For the won to remain viable, South Korea must move to establish settlement-currency standards for the coming AI agent economy and build a new framework by combining its strength in digital identity authentication with blockchain, the official added.