KakaoBank, a leading internet-only bank in South Korea, is reportedly advancing its stablecoin initiative to the development stage. This move signifies the deeper integration of blockchain technology into South Korea's mainstream financial infrastructure. The bank plans to issue a stablecoin pegged to the Korean Won, leveraging its extensive user base to potentially drive broad adoption. The initiative proceeds amidst a complex regulatory landscape in South Korea, where authorities have been tightening oversight on virtual assets. The entry of a major banking player like KakaoBank into the stablecoin sector is seen as a significant signal of traditional finance's growing role in the region's digital asset infrastructure. [Update 1] New reports confirm that KakaoBank is accelerating the development of this Won-backed stablecoin, emphasizing its commitment to the project despite the strict regulatory environment surrounding virtual assets in the country.