BoK denies dollar stablecoins threaten monetary sovereignty
South Korean central bank remains cautious about won-backed instruments as legislation moves forward
South Korea’s central bank has pushed back on claims by the country’s crypto industry that not issuing stablecoins in the national currency will cede monetary sovereignty to dollar-pegged stablecoins.
In a 150-page report published on October 27 (currently only available in Korean), the Bank of Korea describes the alleged threat to monetary sovereignty as “excessive marketing rhetoric”. It says such a scenario would only be at risk of occurring in countries with severe inflation.
The BoK warns
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