Korea Investment & Securities Pushes for Korean Won Stablecoin

Korea Investment & Securities is calling for the creation of a Korean won-denominated stablecoin to expand the tokenized securities market. The firm's head of digital asset strategy, Park Sung-jin, believes that a stablecoin is needed to bridge the gap in settlement speeds between on-chain and off-chain transactions.

Tokenized securities can be transferred on-chain in seconds, but cash settlement remains in the traditional financial system, which may take longer. This creates a bottleneck that could hinder the growth of tokenized securities.

Park sees stablecoins as the key to resolving this issue. He believes that if tokenized securities are issued on public blockchains and settled with stablecoins, it will be a major step forward for the market.