According to TechFlow, on September 20, the Korea Times reported that South Korea plans to conduct a large-scale tokenized deposit pilot by the end of 2024, with an estimated 100,000 individuals participating. The pilot was originally scheduled to start in September or October 2023, but has been slightly delayed. The pilot will take the form of a voucher, where users can purchase goods at convenience stores. The move is part of the Bank of Korea's (BOK) plan to promote wholesale central bank digital currency (wCBDC) to support interbank tokenized deposit settlement.
Currently, six major commercial banks have participated in the project, including NH NongHyup Bank. The Korea Financial Telecommunications & Clearing Corporation (KFTC) will serve as the smart contract management agency. A banking industry insider said that although the schedule has been slightly delayed, launching a pilot with 100,000 users within the year will be an important global milestone.
In addition, the Bank of Korea is actively involved in cross-border payment projects led by the Bank for International Settlements (BIS). These include the Agorá project, which involves 7 central banks and 41 institutions and aims to tokenize agency banking. Six banks in South Korea - Hana Bank, Korea Development Bank, Kookmin Bank, Nonghyup Bank, Shinhan Bank and Woori Bank - are also involved. South Korea is also an observer of mBridge, another BIS cross-border payment project.
