"Why is a Won-based Stablecoin Necessary?…To Prevent Capital Outflow"

Recently, as discussions about a won-based stablecoin (a virtual asset linked to the value of legal currency) have intensified in the domestic political scene, there has been a claim that a won-based stablecoin is essential to prevent capital outflow.

On the 14th (Korean time), Byeong-yun Seo, head of research at blockchain company DSRV, stated on his social media (SNS) account, "The most frequently asked question recently is 'Do we really need a won-based stablecoin?'"

Seo emphasized, "A won-based stablecoin is absolutely necessary. If we remain passive while dollar-based stablecoins account for 99% of the stablecoin market, an economic system based on digital dollars will be established in the daily lives of ordinary citizens in our country."

Seo explained, "If dollar stablecoins become commonly used, there must be domestic currency on the chain to exchange for these dollars," adding, "This is already being done in places like Singapore and Hong Kong."

Finally, Seo stressed, "Issuing a won-based stablecoin is essential to prevent capital outflow."

Meanwhile, opinions in the domestic political scene are divided over the won-based stablecoin. Lee Jae-myung, the Democratic Party's presidential candidate, argued on a broadcast that a won-based stablecoin is necessary to prevent capital outflow. On the other hand, Lee Jun-seok, the Reform New Party candidate, criticized this as an "irresponsible claim," stating, "Candidate Lee's economic views are always risky and experimental."