The Bank of Korea has confirmed that it proposed a licensing system based on unanimous agreement among relevant agencies regarding the issuance of won-based stablecoins. This comes as the political and governmental discussions have recently leaned toward allowing non-bank entities to issue stablecoins, prompting the Bank of Korea to introduce a 'Plan B' condition of stronger regulatory measures rather than closing the door.
According to political sources on the 6th, the Bank of Korea noted in an opinion submitted to the Presidential Committee on Policy Planning that "a regulatory response at the inter-agency level is necessary" and that "it is essential to consider establishing a policy body based on agreement among relevant departments."
In this process, the Bank of Korea cited the example of the Stablecoin Review Committee (SCRC) established under the U.S. Congress's 'Genius Act.' The SCRC is an independent review body involving key government agencies such as the Federal Reserve System (Fed) and the Department of the Treasury, with the Bank of Korea emphasizing that "especially when allowing the issuance of stablecoins by listed companies that provide non-financial services, a unanimous decision by the committee must be made."
The Bank of Korea stated that even though the U.S. has a free market environment without foreign exchange and capital regulations, "it is important to note that they decided to establish a committee with a 'gatekeeper' role to maintain the soundness and safety of the existing banking system."
Bank of Korea Governor Lee Chang-yong has reportedly mentioned this stance early on. During a meeting with major bank heads at the Bankers Association Board on the 23rd of last month, he explained the need for allowing stablecoin issuance through unanimous decisions.
The Bank of Korea has previously maintained that deposits based on Central Bank Digital Currency (CBDC) could replace stablecoins; however, it has recently adjusted its strategy to prioritize allowing bank-centered issuance. Nonetheless, as discussions in the political sphere and industry weigh the possibility of opening up to non-banks, they have taken a step back by preparing safety mechanisms in the licensing phase.
Governor Lee indicated this change in the Bank of Korea's stance, mentioning in an interview with foreign press on the 1st that "it is necessary to recalibrate our plans in light of the emergence of new demand." This statement is interpreted in the market as an acknowledgment of a 'failed operation.'
The Bank of Korea is expected to maintain its stance that "it is important to prepare sufficient safeguards at the legislative stage to minimize side effects associated with the introduction of won stablecoins" for the time being.