On the 10th, Bank of Korea Governor Lee Chang-yong stated at a press conference held right after the Monetary Policy Committee that, "If non-bank institutions are allowed to introduce won stablecoins, several problems could arise."
Governor Lee noted that "the issue regarding won stablecoins is 'the introduction method and regulation'" and said, "If non-bank institutions create won stablecoins, many private currencies will be generated, and each currency may have different values."
He added, "The problems that caused confusion with the issuance of private currencies in the 19th century could occur again" and noted, "In such a situation, it would become difficult to implement monetary policy, and that confusion could return to the Central Bank system."
Governor Lee pointed out that, "It could conflict with foreign exchange liberalization policies" and added, "If non-bank institutions are allowed to introduce it, they should be permitted to perform payment services."
He continued, "It is also a complicated issue that if non-banks perform the same functions as banks, they should be subjected to the same regulations" and stated, "Won stablecoins should be introduced from trustworthy sources and led by the Bank of Korea in a bank-centered manner."
Additionally, Governor Lee mentioned, "Even within the banking sector, we are considering carefully whether it is better for the Bank of Korea to observe within a network or for the banking sector to issue on external platforms, and we would like to test it slowly."