The Bank for International Settlements released a report on the Bank of Korea’s intiative to broaden its central bank digital currency (CBDC) research scope to encompass a wholesale CBDC. The Bank of Korea is set to establish a CBDC network that will enable financial institutions to issue digital currencies, including tokenized deposits and CBDC-backed tokenized emoney.
Furthermore, the Bank of Korea intends to identify innovative use cases and to test them through distinct stages, each tailored to specific use cases.
The report discusses several areas such as providing an overview of the Bank of Korea’s progress on CBDC research; clarifying the reasoning behind the extension of CBDC research to encompass a wholesale CBDC in light of evolving internal and external conditions; and unveiling the objectives of this project.