In his inaugural address, the newly appointed Governor of the Bank of Korea, Shin Hyun-song, highlighted the importance of central bank digital currencies and bank-issued deposit tokens, omitting any reference to stablecoins as the country considers new cryptocurrency regulations. Shin, who commenced his four-year term, drew attention to the bank's ongoing retail central bank digital currency and deposit token pilot project, as well as its participation in a cross-border tokenization initiative. He positioned digital currency as part of a larger transformation in central banking amid economic challenges and slower domestic growth.
Notably, Shin's remarks did not mention stablecoins, a topic that has been at the forefront of policy discussions in Seoul. The governor had previously stated that stablecoins could coexist with central bank digital currencies and deposit tokens in a complementary and competitive manner. His speech outlined a model where the central bank would issue a digital currency, while commercial banks would provide deposit tokens that can be fully converted into it.
Shin also emphasized the need for stricter monitoring of cryptocurrency markets and non-traditional finance, seeking greater access to data to track financial risks. Additionally, he pledged to modernize currency markets, including the introduction of 24-hour foreign exchange trading and an offshore settlement system.