"We need a won stablecoin"…Industry pushes for speed, authorities urge caution

Industry and authorities gather at won stablecoin forum

Industry emphasizes global competitiveness and expanded usability

Authorities focus on risk management and regulatory consistency

Discussion on the introduction of a won stablecoin (Wonsco) is intensifying. The industry stresses the need for rapid institutionalization to secure global competitiveness and expand use cases, while regulators weigh a cautious approach to manage capital flows and minimize risks.

At the forum "Won Stablecoin, Opening the Future of Financial Innovation," held on the 8th at the Korea Financial Investment Association in Yeouido, Seoul, industry representatives from banks, virtual asset (cryptocurrency) exchanges, and electronic payment companies met with policy authorities including the Financial Services Commission, the Bank of Korea, and the Ministry of Economy and Finance to discuss Wonsco issuers, institutional design, and potential uses. Various opinions were presented that balanced innovation and stability.

Industry: "Expand usability and secure global competitiveness"

Kim Tae-yun, Executive Director of Bithumb, said, "Now that the digital asset market has already grown quantitatively, we must pursue qualitative growth," adding, "If foreigners can use Wonsco, cross-border transaction liquidity can be secured." He emphasized, "If we supplement customer verification (KYC) and anti-money laundering (AML) measures like in the securities market to allow foreign participation in the domestic market, and if Wonsco is simultaneously listed on overseas exchanges, it can achieve global success."

Myung Jae-hyun, Managing Director at KG Inicis, pointed to K-content demand and payments as connection points. He said, "In concert ticket payments for domestic artists like NCT and Stray Kids, foreigners account for more than half. Introducing Wonsco here would improve foreigners' access to domestic content," adding, "Also, global payments carry high risks of misuse and chargebacks, but Wonsco can defend against these." He added, "Wonsco is more than a simple payment method; it is an element that protects Korea's digital competitiveness."

Park Jung-ho, Vice President of Kakao Pay, said, "As a platform with over 30 million users, it is important to create new use cases based on Wonsco," and added, "In particular, digitalizing local currencies can lead to efficient execution and revitalize local economies."

Song Ho-geun, Vice President of Kakao Bank, said, "Stablecoins are a technology that will bring financial innovation," adding, "Just as AI is changing everyday life, stablecoins can change financial infrastructure itself. If we quickly establish regulations that balance innovation and stability now, (Wonsco) could advance as a 'sovereign (national-sovereignty) stablecoin.'"

Authorities: "Risk management and regulatory consistency come first"

Policy authorities are emphasizing risk management and regulatory consistency. Ko Kyung-chul, Head of the Electronic Finance Team at the Bank of Korea, said, "There are concerns that issuing Wonsco could amount to permitting a specialized bank for payment and settlement," and explained, "Therefore, a structure is needed in which issuance is centered on the banking sector, applying foreign exchange transaction rules and banking know-how to take responsibility." He noted, "Banks are not the only potential issuers; if non-banks contribute through technology and product development, cooperation is possible," and added, "As PayPal separated issuance and circulation, banks could handle issuance while fintechs like Pay could manage distribution networks to create synergy."

Bae Kyung-hwa, Head of the International Finance Division at the Ministry of Economy and Finance, said, "Wonsco is an opportunity for financial innovation, but institutional design must be meticulous and side effects minimized," adding, "We are pushing to require cross-border reporting of virtual asset transactions and will strengthen monitoring to prevent circumvention." She added, "We will act in line with the second-phase bill of the Virtual Asset User Protection Act."

Kim Seong-jin, Head of the Virtual Assets Division at the Financial Services Commission, said, "We are preparing the second-phase bill that includes stablecoins," adding, "The FSC's goal is to balance innovation and safety while aligning with global consistency." He said, "People must be able to feel the benefits of using Wonsco, and we need to consider various use cases such as K-content and real-world asset tokenization (RWA)." He also explained, "We are preparing safeguards for concerns raised during practical consultations and are reviewing innovative use cases through sandboxes by referring to overseas examples."

Hwang Doo-hyun, BloomingBit reporter cow5361@bloomingbit.io