The Korea Times
amn_close.png
amn_bl.png
National
  • Politics
  • Foreign Affairs
  • Multicultural Community
  • Defense
  • Environment & Animals
  • Law & Crime
  • Society
  • Health & Science
amn_bl.png
Business
  • Tech
  • Bio
  • Companies
amn_bl.png
Finance
  • Companies
  • Economy
  • Markets
  • Cryptocurrency
amn_bl.png
Opinion
  • Editorial
  • Columns
  • Thoughts of the Times
  • Cartoon
  • Today in History
  • Blogs
  • Tribune Service
  • Blondie & Garfield
  • Letter to President
  • Letter to the Editor
amn_bl.png
Lifestyle
  • Travel & Food
  • Trends
  • People & Events
  • Books
  • Around Town
  • Fortune Telling
amn_bl.png
Entertainment & Arts
  • K-pop
  • Films
  • Shows & Dramas
  • Music
  • Theater & Others
amn_bl.png
Sports
amn_bl.png
World
  • SCMP
  • Asia
amn_bl.png
Video
  • Korean Storytellers
  • POPKORN
  • Culture
  • People
  • News
amn_bl.png
Photos
  • Photo News
  • Darkroom
amn_NK.png amn_DR.png amn_LK.png amn_LE.png
  • bt_fb_on_2022.svgbt_fb_over_2022.svg
  • bt_twitter_on_2022.svgbt_twitter_over_2022.svg
  • bt_youtube_on_2022.svgbt_youtube_over_2022.svg
  • bt_instagram_on_2022.svgbt_instagram_over_2022.svg
The Korea Times
amn_close.png
amn_bl.png
National
  • Politics
  • Foreign Affairs
  • Multicultural Community
  • Defense
  • Environment & Animals
  • Law & Crime
  • Society
  • Health & Science
amn_bl.png
Business
  • Tech
  • Bio
  • Companies
amn_bl.png
Finance
  • Companies
  • Economy
  • Markets
  • Cryptocurrency
amn_bl.png
Opinion
  • Editorial
  • Columns
  • Thoughts of the Times
  • Cartoon
  • Today in History
  • Blogs
  • Tribune Service
  • Blondie & Garfield
  • Letter to President
  • Letter to the Editor
amn_bl.png
Lifestyle
  • Travel & Food
  • Trends
  • People & Events
  • Books
  • Around Town
  • Fortune Telling
amn_bl.png
Entertainment & Arts
  • K-pop
  • Films
  • Shows & Dramas
  • Music
  • Theater & Others
amn_bl.png
Sports
amn_bl.png
World
  • SCMP
  • Asia
amn_bl.png
Video
  • Korean Storytellers
  • POPKORN
  • Culture
  • People
  • News
amn_bl.png
Photos
  • Photo News
  • Darkroom
amn_NK.png amn_DR.png amn_LK.png amn_LE.png
  • bt_fb_on_2022.svgbt_fb_over_2022.svg
  • bt_twitter_on_2022.svgbt_twitter_over_2022.svg
  • bt_youtube_on_2022.svgbt_youtube_over_2022.svg
  • bt_instagram_on_2022.svgbt_instagram_over_2022.svg
  • Login
  • Register
  • Login
  • Register
  • The Korea Times
  • search
  • all menu
  • Login
  • Subscribe
  • Photos
  • Video
  • World
  • Sports
  • Opinion
  • Entertainment & Art
  • Lifestyle
  • Finance
  • Business
  • National
  • North Korea
  • 1

    Korea to ease entry rules to boost tourism, domestic spending

  • 3

    Korea moves to shorten COVID-19 isolation period to 5 days

  • 5

    IU says she was excited to share screen with Park Seo-joon in 'Dream'

  • 7

    Will dismantling oligopoly result in successful bank industry reform?

  • 9

    Terraform Labs co-founder's extradition could be delayed more than 1 month

  • 11

    Fintech, lifestyle products can help Korea grow trade ties with Hong Kong: city's trade promotion chief in Korea

  • 13

    INTERVIEWForeign-born entertainers seek to revolutionize local industry

  • 15

    Ex-journalist to lead NK defector support foundation

  • 17

    LX Hausys inks strategic alliance with Reynaers for high-end home windows market

  • 19

    Korea-Japan relations experts call for joint research to co-write history textbooks

  • 2

    From IVE to NCT DOJAEJUNG, K-pop hotshots brace for April chart race

  • 4

    INTERVIEWCan art become stable investment source?

  • 6

    Generation Z entrepreneurs turn oyster shells into trendy dish soap

  • 8

    Apple to open 5th retail store in Korea this week

  • 10

    Celltrion chairman vows to develop new drugs, initiate M&As

  • 12

    Top envoy to US tapped as new national security advisor

  • 14

    Advancing biological weapons convention (BWC): the Philippine role

  • 16

    Korean players faced with uncertainty in new MLB season

  • 18

    Seoul participates in Asia's biggest smart city expo in Taipei

  • 20

    US to continue building defense capabilities against NK nuclear threats

Close scrollclosebutton

Close for 24 hours

Open
  • The Korea Times
  • search
  • all menu
  • Login
  • Subscribe
  • Photos
  • Video
  • World
  • Sports
  • Opinion
  • Entertainment & Art
  • Lifestyle
  • Finance
  • Business
  • National
  • North Korea
Finance
  • Companies
  • Economy
  • Markets
  • Cryptocurrency
Fri, March 31, 2023 | 02:40
Policies
Bank of Korea moves toward issuance of digital currency
Posted : 2020-04-06 16:53
Updated : 2020-04-06 20:32
Lee Min-hyung
Print PreviewPrint Preview
Font Size UpFont Size Up
Font Size DownFont Size Down
  • facebook
  • twitter
  • kakaolink
  • whatsapp
  • reddit
  • mailto
  • link
Seen above is the headquarters of the Bank of Korea in Seoul. Yonhap
Seen above is the headquarters of the Bank of Korea in Seoul. Yonhap

BOK unveils 22-month pilot test plans

By Lee Min-hyung

Seen above is the headquarters of the Bank of Korea in Seoul. Yonhap
Bank of Korea Governor Lee Ju-yeol
The Bank of Korea (BOK) said Monday it was readjusting a plan for the possible issuance of a central bank digital currency (CBDC), in line with similar steps being taken by developed countries such as the United States and Japan.

The central bank had taken a wait and see stance over digital currency experiments, as it judged the CBDC would not arrive in the foreseeable future. This view came as the digital form of fiat money is still in its infancy, raising concerns at the BOK that the issuance of a digital currency could weaken its authority and destabilize the financial system here.

But under the renewed CBDC initiative, the BOK said it would carry out a 22-month pilot test to verify whether a digital currency was stable enough to replace paper money. The drive, which started in March, will last until the end of 2021, during which period the central bank will focus on checking technical issues in running the pilot system.

The announcement reflected recent changes in stance in major developed countries ― including the U.S., Japan, the United Kingdom and Canada, the BOK said.

"The U.S. and Japan had had no plans to issue a CBDC in the near future, but they changed their stance recently to enhance research in the emerging area," an official from the BOK said.

Other major Western countries have also started to recognize the importance of taking preemptive steps toward CBDC research. In January, the six central banks from Canada, the United Kingdom, Japan, the European Union, Sweden and Switzerland established a joint research group on a CBDC.

In Asia, China is the most active player in bracing for the possible looming currency paradigm shift. The People's Bank of China recently said the development of a CBDC was its "top priority."

"The BOK also decided to remain proactive in the rapid shift in payment environments here and abroad, so we are going to set up the CBDC pilot system and check technical and legal issues surrounding its introduction here," the official said.

But the central bank said the CBDC introduction would not be in the near future, as demand for cash remains constant and payment service markets are competitive enough for customers to rely on for now.

The latest initiative will be driven by the BOK's digital currency research team which was established under its financial payment division in February. The central bank also plans to run an advisory group by teaming up with internal and external experts to review technical and legal details.

The BOK will also tighten monitoring of any shifts in the external environment surrounding the CBDC research. It also noted it would enhance exchanges of research results with major overseas central banks.

BOK Governor Lee Ju-yeol said in a New Year address that the central bank would take an active part in international seminars and conferences on a CBDC this year.


Emailmhlee@koreatimes.co.kr Article ListMore articles by this reporter
 
Top 10 Stories
1College students turn to 1,000 won breakfast to beat inflation College students turn to 1,000 won breakfast to beat inflation
2Korean aesthetics, spirit live on at Gyeongbok Palace Korean aesthetics, spirit live on at Gyeongbok Palace
3[INTERVIEW] South Korea needs to make decision on sending lethal aid to Ukraine : CNAS CEO INTERVIEWSouth Korea needs to make decision on sending lethal aid to Ukraine : CNAS CEO
4Children, pregnant women executed, tortured in North Korea: report Children, pregnant women executed, tortured in North Korea: report
5Rare Joseon-era map returns home from Japan Rare Joseon-era map returns home from Japan
6South Korea nominates new ambassador to USSouth Korea nominates new ambassador to US
7French admiral highlights importance of multilateralism in Indo-Pacific region French admiral highlights importance of multilateralism in Indo-Pacific region
8Korea to scrap customs form for travelers without dutiable goods Korea to scrap customs form for travelers without dutiable goods
9Japanese top visitors to Korea in 2023 as tourism rebounds Japanese top visitors to Korea in 2023 as tourism rebounds
10Chun Doo-hwan's grandson to visit May 18 National Cemetery Chun Doo-hwan's grandson to visit May 18 National Cemetery
Top 5 Entertainment News
1From IVE to NCT DOJAEJUNG, K-pop hotshots brace for April chart race From IVE to NCT DOJAEJUNG, K-pop hotshots brace for April chart race
2IU says she was excited to share screen with Park Seo-joon in 'Dream' IU says she was excited to share screen with Park Seo-joon in 'Dream'
3[INTERVIEW] Foreign-born entertainers seek to revolutionize local industry INTERVIEWForeign-born entertainers seek to revolutionize local industry
4NewJeans, Apple join hands to bring immersive audio experience NewJeans, Apple join hands to bring immersive audio experience
5[INTERVIEW] Ahn Jae-hong on playing underdog basketball coach in 'Rebound' INTERVIEWAhn Jae-hong on playing underdog basketball coach in 'Rebound'
DARKROOM
  • Turkey-Syria earthquake

    Turkey-Syria earthquake

  • Nepal plane crash

    Nepal plane crash

  • Brazil capital uprising

    Brazil capital uprising

  • Happy New Year 2023

    Happy New Year 2023

  • World Cup 2022 Final - Argentina vs France

    World Cup 2022 Final - Argentina vs France

CEO & Publisher : Oh Young-jin
Digital News Email : webmaster@koreatimes.co.kr
Tel : 02-724-2114
Online newspaper registration No : 서울,아52844
Date of registration : 2020.02.05
Masthead : The Korea Times
Copyright © koreatimes.co.kr. All rights reserved.
  • About Us
  • Introduction
  • History
  • Contact Us
  • Products & Services
  • Subscribe
  • E-paper
  • RSS Service
  • Content Sales
  • Site Map
  • Policy
  • Code of Ethics
  • Ombudsman
  • Privacy Statement
  • Terms of Service
  • Copyright Policy
  • Family Site
  • Hankook Ilbo
  • Dongwha Group