Blockchain network Injective has entered into a memorandum of understanding with South Korean digital asset custodian BDACS to bring the won stablecoin to its tokenized asset markets, potentially allowing institutions to settle transactions without relying on US dollar stablecoins.
According to Tuesday’s announcement, BDACS’ KRW1 stablecoin will serve as the exclusive won settlement asset for real-world assets (RWAs) on Injective, allowing institutions to trade and settle tokenized assets directly in Korean won.
BDACS says KRW1 is fully backed by Korean won reserves. Mintage and redemption will initially be limited to approved institutional partners, subject to regulatory approval.
The deal comes as South Korea prepares rules for winning stablecoins under its proposed Digital Asset Basic Act, which the government aims to finalize by the end of 2026.
Inject is a layer-1 blockchain that has increasingly focused on tokenized assets. In August, its institutional services registered with the US Securities and Exchange Commission as a transfer agent, allowing it to maintain records of ownership and facilitate the transfer of securities. According to CoinMarketCap, Injective’s native token has a market capitalization of about $887 million. Data.
Related: China’s P2P Stablecoin Wallets Grow 43x, Korea’s $450B Crypto Economy: Asia Express
South Korea is moving toward win-backed stablecoin regulation.
South Korea is still debating who can issue the winning stablecoins as lawmakers work on the Digital Asset Basic Act.
A July policy report from Hashed Open Research and the Solana Policy Institute called for more flexibility in stablecoin issuance and interim licensing guidance during the legislative process. The proposed law would establish a broad framework for digital assets, including stablecoin issuance, disclosures and market rules.
South Korea’s efforts follow the passage of the US GENIUS Act, which established a federal regulatory framework for payment stablecoins, and the European Union’s Markets in Crypto-Assets Regulation (MiCA), which includes rules governing stablecoin issuers.
Industry data shows The stablecoin market remains heavily dollar-denominated, with US dollar-backed tokens accounting for more than 99% of the total supply.
Related: Mastercard launches stablecoin risk screening for banks and payment providers
