BDACS, a digital asset company headquartered in Busan, has officially issued the Korean won-based stablecoin KRW1 and successfully completed its Proof of Concept (PoC). This achievement is noteworthy in that the entire process—from deposit of collateral funds to issuance, transfer, and on-chain verification—was implemented in an environment close to actual use.
KRW1 is BDACS’s proprietary stablecoin brand, which was trademarked in December 2023. From its inception, BDACS has anticipated that stablecoins would become a core infrastructure in Korea’s digital asset market, and has proactively developed the technology and systems needed.
In this PoC, a 100% won-collateralized system was applied, with funds deposited in commercial bank accounts such as Woori Bank. The system is also designed to allow real-time verification of collateral status through API integration. With user-to-user transfers, issuance, and the entire mechanism operating at a level comparable to real distribution, the project has been positively evaluated for its technological stability.
The technical foundation is the Avalanche blockchain network, which is recognized globally for its performance and scalability. By adopting Avalanche, BDACS aims to ensure both reliability and international interoperability.
BDACS’s goal is not limited to serving specific companies or closed systems. Instead, it seeks to establish KRW1 as a general-purpose stablecoin across remittance, payments, investment, and deposits. Furthermore, the company is exploring its potential use in the public sector, such as distributing programs like livelihood support funds, where reducing transaction fees could ease financial burdens.
What now remains is the refinement of regulatory frameworks, further technical advancement, and the securing of user and institutional trust in real market conditions. With Korea’s Digital Asset Basic Act and related legislation beginning to take shape, KRW1’s trajectory will serve as a litmus test for whether Korea can achieve true innovation in its financial infrastructure.
