TechFlow news — On September 20, according to The Korea Times, South Korea plans to launch a large-scale tokenized deposit pilot by the end of 2024, expecting participation from 100,000 individuals. Originally scheduled for September or October 2023, the pilot has been slightly delayed. The trial will use a voucher-like format, allowing users to purchase goods at convenience stores. This initiative is part of the Bank of Korea's (BOK) efforts to advance its wholesale central bank digital currency (wCBDC) program, aiming to support interbank settlement of tokenized deposits.
Currently, six major commercial banks have joined the project, including NH NongHyup Bank. The Korea Financial Telecommunications and Clearings Institute (KFTC) will serve as the smart contract manager. A banking industry insider noted that despite the slight delay, launching a pilot with 100,000 users within the year would be a significant global milestone.
In addition, the Bank of Korea is actively participating in cross-border payment projects led by the Bank for International Settlements (BIS). These include Project Agorá, involving seven central banks and 41 institutions, aiming to tokenize correspondent banking services. Six South Korean banks—Hana Bank, Korea Development Bank, KB Kookmin Bank, NH NongHyup Bank, Shinhan Bank, and Woori Bank—are participating. South Korea is also an observer in mBridge, another BIS cross-border payment project.
