The South Korea CBDC project is one that is awaited by many in the cryptocurrency news daily, and the central bank recently re-affirmed their plans to further support it. However, the bank continues to add disclaimers and refuses to commit to launching a digital version of the won fiat currency.
According to the newspaper Hankyoreh, the central Bank of Korea (BOK) has released a strategy document which outlines its plans for the medium and long term. There are numerous mentions of the bank’s digital currency plans.
Despite the previous BOK claims that there is “no pressing need” for a South Korea CBDC (central bank digital currency), the tables have turned and the source claims that the tone of the new document is way different. As the authors of the document wrote:
“Some central banks are promoting the introduction of CBDCs, and the private sector is also expanding its use of fintech, digital currencies and payment/settlement applications. We need to respond actively to all these changes.”
The document also states that the BOK will continue to prepare for a digital won launch “if this becomes necessary.” A pilot is slated to begin as early as December this year, but could be still rolled out faster if the BOK continues to make progress ahead of its schedule.
The South Korea CBDC, as we previously reported, appears to have redoubled its provisional digital won rollout plans as a response to both the coronavirus pandemic and the breathless digital yuan progress by China.
Based on its “internal research and the trend of CBDC preparation in major overseas countries,” the bank wrote that “there is also a need to promote preparations to introduce CBDC in South Korea, if necessary.”
Additionally, the BOK committed to creating a “digital innovation unit” in the second half which will conduct research into the possible adoption of industry 4.0 technological advances like blockchain, AI, as well as big data. Officials from the bank said that the South Korea CBDC project is being looked at – new plans include improving its monitoring capabilities and looking to boost efficiency in payments.
For now, there is no official update about anything related to it from a regulatory standpoint, the latest cryptocurrency regulation news show.
DC Forecasts is a leader in many crypto news categories, striving for the highest journalistic standards and abiding by a strict set of editorial policies. If you are interested to offer your expertise or contribute to our news website, feel free to contact us at [email protected]