- Stablecoin payments might save South Korean retailers up to $3.8 billion a year.
- Stablecoins backed by won have the potential to lower merchant payment costs by as much as 5.15 trillion won.
- At 98.8% of the worldwide stablecoin market value, dollar-backed stablecoins now control the majority of the market.
- Token pegs and bank deposits may be threatened by widespread stablecoin redemptions.
A recent research by the National Assembly Budget Office shows that if stablecoins were widely used for payments, Korean retailers could save up to 5.15 trillion won, which equals about 3.8 billion dollars, each year.
The research says the yearly savings could range from 370 billion won, 275 million dollars, up to 5.15 trillion won. The exact amount depends on how much card spending moves to stablecoin payments and the fees charged by payment processors. Korean retailers would see these savings in a range that depends on the adoption of stablecoins.
LATEST: 🇰🇷 South Korea’s National Assembly Budget Office says won-denominated stablecoins could save merchants up to $3.8B a year in payment fees. pic.twitter.com/uDdEfr1Msc
— CoinMarketCap (@CoinMarketCap) September 9, 2026
Stablecoins Could Cut Merchant Payment Costs
Digital tokens known as stablecoins are designed to keep a value when compared to assets such as national currencies. A stablecoin priced in won would give companies a local alternative to the dollar‑backed tokens that currently dominate the global market.
The Budget Office reports that 98.8% of the $312.3 billion stablecoin market in July consisted of dollar‑linked stablecoins. Moving part of their payment activities to stablecoins could reduce transaction costs for retailers. Might make the payments market more competitive. The regulatory framework for stablecoins and their issuers is still being developed in South Korea, however.
Regulators Face Bank & Stability Risks
The potential cost savings come with financial risks. The Budget Office warned that widespread stablecoin adoption could reduce the amount of money held in traditional bank deposits.
That could weaken banks’ role as credit intermediaries because fewer deposits could mean fewer funds available for lending.
The report also highlighted the risk of large-scale redemptions. If investors rush to exchange stablecoins for fiat currency, issuers could be forced to sell reserve assets quickly. Such selling pressure could threaten a token’s peg and undermine confidence in the wider stablecoin market.
The Budget Office therefore called for stronger reserve requirements, limits on stablecoin rewards and closer supervision of tokens that could pose broader financial stability risks.
South Korea Eyes Stablecoins For Tokenized Markets
Stablecoins could eventually become more important beyond everyday payments.
South Korea’s Financial Services Commission has said the country plans to expand tokenized securities from February 2027, with a later stage potentially connecting blockchain-based securities markets with stablecoin payment infrastructure.
Policymakers are also monitoring the impact of dollar-backed stablecoins on the Korean won. A recent Bank of Korea study found that direct trading between local currencies and dollar stablecoins on Binance can put downward pressure on local currencies.
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