KOSCOM’s Initiative in the Stablecoin Sector
The Korea Exchange’s technology provider, KOSCOM, is taking significant strides in the stablecoin sector by filing for five new trademarks associated with digital currencies, while also restructuring its departments focused on cryptocurrency and digital assets. According to a report from the South Korean publication Seoul Finance, these trademarks include the brands KSDC, KRW24, KRW365, KOSWON, and KORWON. This initiative appears to be a strategic move to prepare for the upcoming launch of the KRW stablecoin market, which is expected to unfold in South Korea soon.
KOSCOM’s Role and Expansion
KOSCOM, officially known as the Korea Securities Computing Corporation, plays a vital role in providing technological infrastructure and trading solutions to Korea’s financial securities and futures markets. Originally established through the collaboration of the central government and the Korea Exchange, KOSCOM operates under the stewardship of its largest stakeholder, the Korea Exchange, and has extended its trading platform innovations to several Southeast Asian stock exchanges, including those in Laos, Cambodia, and Malaysia.
Regulatory Anticipation and Future Prospects
As anticipation builds around the potential regulations for cryptocurrencies expected from the South Korean government in the near future, industry experts suggest these new rules will likely incorporate provisions for won-based stablecoins. Observers believe that once regulations are solidified, companies will find opportunities to launch their stablecoin offerings within the mid to long-term horizon.
KOSCOM’s Strategic Developments
In conjunction with its trademark pursuits, KOSCOM has also revitalized its Future Business Division and established a new team aimed at promoting digital asset initiatives, which will report directly to the company’s CEO. This specialized task force has initiated a proof-of-concept (PoC) focused on stablecoin technology and is exploring the utilization of KRW stablecoins to enhance payment processes for subscriptions and distributions. The objective is to increase payment convenience and overall stability in these transactions, as articulated by Kim Wan-seong, head of the task force.
Banking Sector Engagement
Furthermore, South Korean banks are eagerly navigating the stablecoin arena, with many institutions actively pursuing similar trademark registrations. There is a notable emphasis among lawmakers that only larger financial institutions should be authorized to issue KRW-backed stablecoins. In light of this, executives from South Korea’s top banks have recently engaged in discussions with Tether, the issuer behind USDT, and Circle, which manages USDC, signaling a keen interest in aligning with global stablecoin entities ahead of regulatory clarity.
