South Korea’s KRW1 stablecoin taps LayerZero for cross-chain expansion
Sep 08, 2026
BDACS has selected LayerZero’s Omnichain Fungible Token standard for its KRW1 stablecoin, giving the won-backed asset a unified cross-chain system as the company seeks to expand its use outside South Korea.
LayerZero gives KRW1 a unified cross-chain supply
LayerZero’s OFT standard is already used for stablecoins including Tether’s USDT0, PayPal USD and Paxos-issued USDG.
KRW1 expands from its original Avalanche launch
BDACS introduced KRW1 in September 2025 after completing a proof of concept with Woori Bank.
The stablecoin was initially launched on Avalanche, with each token backed 1:1 by Korean won held at Woori Bank. The setup included an API connection for verifying reserves.
South Korea prepares rules for won stablecoins
The cross-chain expansion comes as South Korea continues developing its regulatory framework for won-denominated stablecoins.
The Bank of Korea reiterated in July that it favors a bank-led model during the initial stage of stablecoin issuance. The central bank said bank consortiums should take the lead while lawmakers continue negotiations over the country’s Digital Asset Basic Act and related stablecoin rules.
Private companies have continued testing their own infrastructure during the legislative process. South Korean financial super app Toss signed an agreement with Optimism and Sunnyside Labs in July for a three-month program examining won-linked stablecoin infrastructure, including payment settlement, compliance and privacy requirements.
KT has entered the same market through plans for a Token Factory and won stablecoin platform. The telecommunications group said in July that the system would support token issuance, billing and settlement while drawing on K Bank, BC Card and KT’s network infrastructure.
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