Kakao Corporation’s banking affiliate (KakaoBank) is aggressively advancing plans to launch stablecoin services, riding on a regulatory shift hand-in-hand with President Lee Jae-myung’s pro-crypto policies.

Kwon Tae-hoon, the bank’s Chief Financial Officer, stated during KakaoBanks’ first-half 2025 earnings call that the company “plans to actively participate” in the “digital asset ecosystem” through methods including “issuance and custody.”

Kwon’s comments, reported by ZDNet Korea, come as the initiative is spearheaded by Kakao’s Stablecoin Task Force. This collaborative effort involves top executives from key affiliates, including the fintech platform KakaoPay.

KakaoBank’s move follows Lee Jae-myung’s June election as South Korean president, who has prioritized cryptocurrency legislation. Lee’s administration recently pushed a bill aimed at legalizing stablecoins.

KakaoBanks efforts materialized withtrademark filings on June 23rd, joining KB Financial Group’s Kookmin Bank in securing intellectual property for Korean won-pegged stablecoins, targeted for 2026 launch.

Kwon confirmed KakaoBank draws upon a strong track record in digital assets, highlighting “successful [operations] [wallet opening, exchanges]” that commenced approximately three years ago. He added participation in the Bank of Korea’s central bank digital currency experiment.

“For the past three years, we have been issuing real-name verified accounts for virtual asset exchanges and have been operating risk-related measures such as Know Your Customer and Anti-Money Laundering-based monitoring,” Kwon stated.

The bank serves a massive user base with 25.86 million customers, half of South Korea’s population. KakaoBank managed $46.47 billion globally at the end of March.

Furthermore, prominent international players are increasingly considering stablecoin applications, according to new research firm data. Fireblocks’ May report found that 90% of surveyed institutional players are exploring stablecoin use cases.

Meanwhile, geopolitical actors are also entering the stablecoin fray. A Russian finance ministry official proposed in April a national stablecoin initiative while well-regarded international institutions actively form stablecoin consortiums.

Following the initial trademark declaration, KakaoBanks stock surged from its trading range of 22,600 to 37,000 Korean won.

Recent disclosures regarding the bank’s more concrete stablecoin strategy have yielded only minimal movement, peaking at 27,825 won but ultimately closing the day near 26,900 won.

Trading activity continues muted, with the bank’s share experiencing a slight increase of 0.93% Wednesday, to $19.60.