South Korea’s Private Sector Debuts KRWIN, a Won-Pegged Token

Initech and fanC launched KRWIN, marking South Korea's first private-sector stablecoin pegged to the Korean won. The companies are running internal tests within their corporate networks to evaluate technical performance and real-world use cases.

The pilot program focuses on payment processors, global remittance providers, and tourism operators, though the companies have not named specific partners. Participants are testing token transfers to assess how KRWIN integrates with existing financial systems. The companies plan a broader rollout if the pilot produces positive results, but have not set a public release date.

fanC filed a trademark application for KRWIN and related technologies with the Korean Intellectual Property Office in July. The filing covers the token name and technical frameworks, securing branding and operational rights before a wider launch.

“KRWIN will establish itself as a leading private model driving future demand for won-denominated digital assets,” said Lee Dong-ho from fanC, calling the test issuance a major milestone for stablecoin adoption in South Korea.

Competition among domestic firms has grown following President Lee Jae-myung's comments supporting won-denominated cryptocurrency assets. His remarks sparked interest from retail investors and prompted fintech and blockchain companies to pursue stablecoin development.

Several companies are forming partnerships to advance their projects. Cryptocurrency exchange Bithumb and fintech operator Viva Republica, which runs the Toss payments app, are discussing collaboration on a won-backed token. South Korea's largest exchange, Upbit, has partnered with Naver Pay to develop a separate won-pegged coin.

The Bank of Korea issued a statement in mid-May saying it should oversee private won-based tokens to prevent disruptions to monetary policy. Bank officials warned that without proper regulation, treating such tokens as legal tender could undermine the central bank's ability to manage money supply and interest rates.

Democratic Party briefing data showed that stablecoins accounted for nearly half of the funds transferred to overseas exchanges in the first quarter of 2025, when total outflows reached approximately 57 trillion won. The figures demonstrate growing reliance on currency-pegged digital tokens for cross-border transfers and global market access.

Related: South Korean Bank Files 17 Trademarks for Won-Backed Stablecoin Plan