Korean companies are taking part in the Stablecoin race, with Upbit and Naver Pay becoming the latest participants in the market.
Korean companies are increasingly taking advantage of the clarity of new regulations around Stubcoin. On Tuesday, June 1st, Upbit, the country's largest crypto exchange, and Naver Pay, the payment platform for fintech, joined forces to develop Stablecoin for Koreans.
“It appears that Naver Pay will lead and Dunamu will work together,” said an official at Upbit operator Dunamu. “As soon as the relevant system is established, we will specify the scope and method of cooperation.”
Previously, on June 26th, Naver Pay announced that it would lead a consortium of companies to implement Stablecoins, supported by WON. Part of the reason for this move is the regulatory change in South Korea, which will soon support Stubcoin.
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Korea introduces new Stablecoin rules
In Korea, discussions about Stablecoin regulations are intensifying, leading to the Upbit and Naver Pay initiatives. On June 29th, President Lee Jae Myung pledged to allow businesses to issue stubcoins backed by national highways.
The move has stimulated a great deal of interest in companies related to digital assets. Additionally, several major banks, such as KB Kookmin, Shinhan, Woori and Citibank Korea, have come together for their own Stablecoin initiative.
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Since May, South Korea's ruling Democrats have been pushing for the launch of government-backed victorious stubcoin. In particular, lawmakers are competing to set up Stablecoins before USD-based Stablecoins gain a greater advantage. They hope this will allow them to achieve some advantage in the global stubcoin market.
Korea is one of the markets with some of the highest levels of crypto adoption. Recent reports show that 27% of the population are crypto assets ages 20-50, with 70% willing to buy more.
read more: South Korea will suspend CBDC projects as regulators prioritize winning stub coin rollouts
