Bank of Korea’s new chief prioritizes CBDC, omits stablecoins

Bank of Korea’s new governor Shin Hyun-song prioritizes CBDC and deposit tokens, emphasizing blockchain innovation and regulatory clarity, while stablecoins are notably omitted from his agenda.

Shin Hyun-song, the new governor of the Bank of Korea, has outlined a clear agenda that places central bank digital currency (CBDC) and deposit tokens at the heart of South Korea’s digital finance strategy. In his inaugural speech, Shin emphasized the significance of blockchain technology and financial innovation, detailing plans to advance CBDC and deposit tokens through the second phase of Project Hangang. He also highlighted the importance of international collaboration, particularly with Project Agora, to enhance the Korean won’s role in global payments. Shin stressed the need for robust regulatory frameworks to ensure payment system stability and compliance with anti-money-laundering (AML) and know-your-customer (KYC) requirements. Notably, while stablecoins remain a topic of debate in South Korea, Shin omitted them from his speech, signaling a cautious approach and prioritizing CBDC and deposit tokens. His leadership signals a progressive stance on digital assets, focusing on modernization and regulatory clarity while leaving stablecoins outside the immediate central bank agenda.