Bank of Korea Launches Pilot for 24-Hour Won Settlement Network
- The Bank of Korea (BOK) initiated a pilot for a CBDC settlement network to facilitate won transactions for foreign investors outside regular banking hours.
- Trial operations began with four banks: KB Kookmin Bank, Woori Bank, Hana Bank, and Shinhan Bank.
- Full operations are set to commence in January 2027, with plans to include additional banks.
- The BOK aims to enhance the international status of the won by improving access to its settlement infrastructure.
- The BOK has also been involved in Project Agorá, testing tokenized cross-border payments using central bank reserves.
This new initiative is part of the BOK’s broader strategy to modernize its payment systems and improve international transaction efficiency. The pilot will help assess the viability of a more accessible won settlement system for foreign investors.
With full operations planned for January 2027, this pilot could significantly impact how foreign investors engage with the South Korean economy through enhanced CBDC capabilities and improved transaction processes.
