Catenaa, Monday, September 01, 2025- KakaoBank is preparing to enter South Korea’s growing stablecoin sector, signaling a major move by one of the country’s largest digital banks amid President Lee Jae Myung’s push for a won-based crypto framework.
During its first-half earnings announcement, KakaoBank CFO Kwon Tae-hoon confirmed the bank is actively reviewing digital asset issuance and custody services, in partnership with the Kakao Group’s stablecoin task force.
“Stability and technological prowess are the most critical factors for stablecoins,” Kwon said, citing the bank’s experience in real-name account verification and risk monitoring for crypto exchanges through KYC and AML protocols.
KakaoBank also participated in the Bank of Korea’s central bank digital currency (CBDC) pilot, handling wallets and remittances, a sign of its deeper push into digital finance.
The move comes as South Korea accelerates plans to regulate and promote local stablecoin issuance. President Lee, who campaigned on preventing capital flight through domestic blockchain solutions, has backed legislation supporting the won-backed stablecoin ecosystem.
The private sector is responding in kind: KakaoPay, a sister firm, applied for stablecoin-related trademarks in June.
Meanwhile, KakaoBank posted an 11% year-over-year rise in operating profit to 353.2 billion won ($254 million) and added nearly one million new users in H1 2025, boosting its customer base to nearly 26 million, about half the nation’s population.
The stablecoin initiative could further position KakaoBank as a central player in South Korea’s evolving digital economy.
