According to the South Korean 'Economic Review', eight major South Korean banks are preparing to establish a joint venture company to plan the issuance of a Korean Won Stablecoin. Participating institutions include the National Bank, Shinhan Bank, Woori Bank, Nonghyup Bank, Industrial Bank of Korea, Suhyup Bank, Citibank Korea, and Standard Chartered Korea. The project is jointly promoted by the Association for the Opening of Blockchain and Decentralization Identifiers, the Korea Financial Telecommunications and Clearings Institute, and is currently discussing the underlying infrastructure.
If approved by the regulators, the joint venture is expected to officially go live by the end of this year or early next year. The project team is currently considering two issuance models: one is the trust model, which involves independently trust client funds before issuing Stable Coin; the other is the deposit-to-coin model, directly linking Stable Coin to bank deposits.