Bank of Korea Advances Bank-Led Stablecoins and Deposit-Token Pilot

The Bank of Korea is centering its digital currency policy on central bank digital currencies (CBDCs) and tokenized deposits. Project Hangang is testing the feasibility of using tokenized bank deposits for payments, while Project Agorá is exploring tokenized cross-border settlement. Both initiatives have drawn close attention because of their implications for financial infrastructure and the primacy of central bank money.

In his first address after taking office, new Bank of Korea Governor Hyun Song Shin highlighted efforts to advance Project Hangang and Project Agorá but made no mention of stablecoins. South Korea's National Assembly is separately drafting the Digital Asset Basic Act to regulate stablecoins. Reports did not provide the exact date of the speech, pilot funding or number of participants, but the signal for now is that CBDCs are the priority.

Won stablecoins are digital tokens designed to maintain a fixed value against the South Korean won and can be used for payments and digital-asset trading. The Bank of Korea says issuance by private companies outside banking supervision could circumvent advance foreign-exchange reporting requirements, weaken monetary-policy transmission and threaten financial stability during a run. It therefore wants commercial banks subject to capital and governance requirements to take the lead initially.

In February 2026, the Bank of Korea submitted a report to the National Assembly’s Strategy and Finance Committee, renewing its proposal for a bank-led issuance consortium and a statutory interagency body to review and supervise issuers. Regulators have remained divided since November 25, 2025, over whether banks should be required to own a majority stake in issuing companies, delaying legislation originally slated to advance in October 2025. The latest report did not propose an issuance amount.