In his maiden speech, Bank of Korea Governor Shin Hyun-song highlighted the importance of central bank digital currencies and bank-issued tokens, omitting any reference to stablecoins amidst South Korea's ongoing evaluation of new cryptocurrency regulations. Shin, who commenced his four-year term, drew attention to the bank's ongoing retail CBDC pilot project and its participation in a global tokenization initiative.
He positioned digital currencies as a key component of the central bank's strategic response to economic challenges and sluggish 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 suggested that stablecoins could coexist with CBDCs and bank tokens in a complementary and competitive manner. His speech outlined a framework where the central bank would issue a digital currency, while commercial banks would provide fully convertible tokens.
Furthermore, Shin announced plans to enhance monitoring of crypto markets and non-traditional financial institutions, as well as implement measures to modernize currency markets, including round-the-clock foreign exchange trading.