South Korea Pauses CBDC Plans as Stablecoins Gain Ground

Increased market penetration and adoption of stablecoins have put a damper on the South Korean CBDC plans. The country has applied brakes on its CBDC trial program that had been ongoing since April this year in the wake of stablecoin’s resurgence amidst political backing. The Bank of Korea (BoK) confirmed the current state of affairs.. The post South Korea Pauses CBDC Plans as Stablecoins Gain Ground appeared first on 99Bitcoins.

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Jun 30, 2025 - 22:00

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Increased market penetration and adoption of stablecoins have put a damper on the South Korean CBDC plans. The country has applied brakes on its CBDC trial program that had been ongoing since April this year in the wake of stablecoin’s resurgence amidst political backing.

The Bank of Korea (BoK) confirmed the current state of affairs in a statement given to Bloomberg on 30 June 2025, through a representative.

Also, a senior representative of one of the seven banks participating in the South Korean CBDC trials informed a local publication that the central bank is holding back until it sees the government’s stablecoin strategy and how CBDCs might integrate with it.

Newly elected South Korean President Lee Jae-myung has openly advocated for stablecoins, and his administration has signalled that stablecoins will fill major gaps in the country’s financial landscape.

In his advocacy for stablecoins, Jae-myung has proposed the eligibility of companies with reserves as low as 500M won ($370,000) to be able to issue stablecoins.