It was reported that the banking division of South Korea's IT giant Kakao Corporation is accelerating its plans to offer stablecoin services amid a shift in national regulation following the election of pro-cryptocurrency President Lee Jae-myung.
During the company's first-half 2025 earnings call, KakaoBank's Chief Financial Officer Kwon Tae-hoon stated that the company is 'reviewing various methods such as issuance and custody' and plans to 'actively participate' in the digital asset ecosystem, according to ZDNet Korea.
Kwon added that this initiative was carried out in collaboration with Kakao's stablecoin special task force, which includes senior executives from its core subsidiary KakaoPay.
KakaoBank's stablecoin plan is being promoted against the backdrop of several cryptocurrency-related laws following the election of President Lee Jae-myung in June, including a bill to legalize stablecoins.
KakaoBank lays the foundation
KakaoBank applied for a trademark related to stablecoins on June 23, while its competitor Kookmin Bank also took similar actions. Other eight major Korean banks plan to launch a won-pegged stablecoin before 2026.
Kwon stated that KakaoBank has experience in digital assets, having successfully opened wallets, supported exchanges, and participated in the central bank digital currency experiment with the Bank of Korea.
'In the past three years, we have opened real-name verification accounts for virtual asset exchanges and operated monitoring measures based on 'Know Your Customer' and anti-money laundering,' Kwon said.
As of March this year, KakaoBank has 25.86 million users, accounting for about half of South Korea's 51.7 million population, managing assets of $46.47 billion.
The number of users of South Korea's cryptocurrency exchanges has exceeded 16 million, accounting for more than 30% of the country's total population.
KakaoBank's stock price remains stable
After KakaoBank submitted a trademark application related to stablecoins, its stock price rose from $22.60 to $27, an increase of 19.3%.
However, after the latest developments in the stablecoin plan were announced, the stock price only rose slightly, peaking at $20.10 on Wednesday before falling back to $19.43.
In the latest trading on Thursday, its stock price rose slightly by 0.93% to a trading price of $19.60.
The bank has been in operation since 2016, established as a joint venture between Korean Investment Holdings and Kakao Corp.
Global attention on the use of stablecoins
Other large companies and even countries have shown increasing interest in the use of stablecoins.
A report on May 14 stated that 90% of institutional investors are exploring the use of stablecoins in their businesses.
Meanwhile, officials from the Russian Ministry of Finance have suggested that the government develop its own stablecoin, while three major institutions in Abu Dhabi have formed a consortium to develop a dirham-pegged stablecoin.