Injective, a blockchain network, has partnered with South Korean digital asset custodian BDACS to introduce a Korean won-backed stablecoin for tokenized asset markets. The collaboration aims to enable institutions to settle transactions without relying on US dollar stablecoins, marking a significant step toward localized stablecoin solutions.
Under the memorandum of understanding, BDACS’s KRW1 stablecoin will serve as the exclusive won-denominated settlement asset for real-world assets (RWAs) on Injective. This move allows institutions to trade and settle tokenized assets directly in Korean won. KRW1 is fully backed by Korean won reserves, with minting and redemption initially limited to approved institutional partners, subject to regulatory approval.
The agreement comes as South Korea develops rules for won-backed stablecoins under its proposed Digital Asset Basic Act, which the government aims to finalize by the end of 2026. Meanwhile, the country’s five largest crypto exchanges have recorded net stablecoin outflows for 18 consecutive months through June, highlighting the demand for alternative stablecoin solutions.
Injective, a layer-1 blockchain, has increasingly focused on tokenized assets. In August, its institutional services arm registered with the US Securities and Exchange Commission as a transfer agent, allowing it to maintain ownership records and facilitate securities transfers. Injective’s native token has a market capitalization of roughly $887 million, according to CoinMarketCap data.