In his maiden speech, Bank of Korea Governor Shin Hyun-song emphasized the importance of central bank digital currencies and bank-issued tokens, omitting stablecoins from his discussion as the country considers new cryptocurrency regulations. Shin, who assumed office on Tuesday, referenced the bank's ongoing retail CBDC pilot, Project Hangang, and its participation in Project Agorá, a global tokenization initiative. He positioned digital currency as a key aspect of central banking amidst economic challenges and slow domestic growth. Notably, stablecoins were not mentioned, despite being a major topic of policy debate in Seoul, where lawmakers are reviewing the Digital Asset Basic Act.
Previously, Shin suggested that stablecoins could coexist with CBDCs and deposit tokens in a complementary manner. The governor outlined a model where the central bank issues a CBDC and commercial banks provide fully convertible deposit tokens. He also indicated that the bank would closely monitor crypto markets, expand data access to track financial risks, and modernize currency markets, including the introduction of 24-hour foreign exchange trading and an offshore won settlement system.