South Korean BDACS’ official stablecoin, KRW1, can be issued on Circle’s blockchain Arc. This marks the second integration for the stablecoin after its preliminary launch on Avalanche.
Abstract
- South Korean agency BDACS has partnered with Circle to launch its Korean won-backed stablecoin, KRW1, on Circle’s new Arc blockchain, aiming to develop South Korea’s attain into the worldwide stablecoin market.
- Totally backed by the Korean received and verified by means of Woori Financial institution, KRW1 represents South Korea’s rising push towards regulated digital belongings as the federal government prepares new stablecoin legislations.
In keeping with a current report by Yonhap Information, South Korean digital asset firm BDACS introduced plans to start out issuing its official Korean won-backed stablecoin KRW1 on Circle’s new Layer-1 blockchain Arc. The initiative goals to strengthen South Korea’s presence within the world digital foreign money ecosystem by increasing the adoption of compliant, asset-backed stablecoins.
To advance this effort, BDACS has signed a memorandum of understanding with Circle. The settlement between the 2 stablecoin issuers seeks to ascertain a framework for technical collaboration, regulatory alignment, and ecosystem growth.
This partnership is predicted to leverage Circle’s experience in stablecoin issuance and blockchain infrastructure to make sure the safe and clear operation of KRW1.
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CEO of BDACS, Hongyeol Ryu views the corporate’s collaboration with Circle as a significant step in bringing Korean innovation onto the worldwide monetary ecosystem, particularly with the rise of non-dollar backed stablecoins.
“By distributing KRW1 to Circle’s Arc, we’ve opened a gateway for Korean corporations to take part within the world stablecoin community,” mentioned Ryu.
Described as Circle’s “most bold infrastructure play to this point,” Arc is a comparatively new stablecoin-native blockchain that was established by the stablecoin big in August 2025. The brand new blockchain goals to function a basis for tokenized belongings, on-chain funds, and programmable finance.
The Arc blockchain is built-in instantly with Circle’s current services and products, together with main stablecoins like USDC (USDC) and EURC (EURC). By bringing KRW1 into Circle’s stablecoin-driven blockchain, the token may achieve extra world publicity because it prepares to enter the broader stablecoin market.
KRW1 and South Korea’s bid for stablecoin domination
Launched in September 2025, KRW1 is a stablecoin that’s totally backed by South Korean received. One of many first out there, every token is backed on a 1:1 ratio, with Korean received held in escrow at Woori Financial institution with real-time API integration enabling verifiable proof of reserves.
Initially the challenge was issued on the Avalanche (AVAX) blockchain, which BDACS claimed was chosen resulting from its security measures and efficiency. Though, it additionally plans to combine the won-pegged stablecoin into extra networks additional time.
In preparation for the launch, BDACS has accomplished the trademark registration for KRW1 since as early as December 2023, signaling its long-term dedication to constructing a trusted and controlled digital asset linked to the Korean received.
As beforehand reported by crypto.information, the corporate said that KRW1 is designed to facilitate remittances, on a regular basis funds, funding actions. BDACS additionally expects the token to ultimately be utilized in authorities initiatives corresponding to emergency reduction distribution.
The launch of KRW1 comes amidst an increase in South Korean corporations expressing curiosity in coming into the stablecoin market with tokens pegged to the native foreign money. In mid-September 2025, Korea Change affiliate agency KOSCOM reportedly filed for 5 stablecoin logos, which embrace KSDC, KRW24, KRW365, KOSWON, and KORWON.
In the meantime again in August, fanC and Initech launched the primary pilot for a Korean-won pegged stablecoin. Dubbed KRWIN, the pilot examined the token’s feasibility, together with transferability and real-world purposes. Although, thus far the 2 companies have held again from saying an official launch date for KRWIN.
As well as, the South Korean Monetary Companies Fee was final reported to be engaged on a complete laws for stablecoins. The laws is predicted to be submitted by the top of 2025. This framework is a part of the nation’s broader effort to control digital belongings and speed up stablecoin adoption.
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