Bank of Korea Halts Digital Currency Project

The Bank of Korea (BOK) suspended its central financial institution digital forex venture, Singaporean monetary newspaper Business Times reported on Monday.

The venture had reached the stage of creating a pilot program with collaborating banks.

The central financial institution informed the banks it should pause discussions associated to the initiative, in accordance with the report, which cited an unidentified BOK official.

South Korea’s President Lee Jae-myung, who took workplace June 4, courted the nation’s cryptocurrency group throughout his election marketing campaign. Among his guarantees was a pledge to assist a won-based stablecoin market.

Earlier this month, Lee’s ruling Democratic get together submitted a invoice that will permit qualifying firms to concern stablecoins.

CBDCs are a type of fiat forex that should act as a digital counterpart to money. They have been criticized as an idea, notably among the many crypto group, over issues about privateness, surveillance and state management.

The Bank of Korea didn’t reply to CoinDesk’s request for remark.