The nominee to lead the Bank of Korea, Shin Hyun-song, has indicated support for introducing won-denominated stablecoins. In written remarks submitted to parliament, Shin stated that stablecoins are expected to contribute to the future currency ecosystem. He believes central bank digital currencies and deposit tokens can coexist, complementing and competing with stablecoins.
Shin, who previously worked with the Bank for International Settlements, also addressed South Korea's household debt. He emphasized the need for continued de-leveraging efforts and consistent policy measures to stabilize prices and control housing demand and supply, noting the uncertainty of ongoing stabilization trends in house prices.
Additionally, Shin suggested the central bank explore diversifying foreign exchange reserves through investments in gold exchange-traded funds.