BDACS Launches Won-Backed Stablecoin, After PoC With Woori Bank

BDACS announced the launch of KRW1, a South Korean won-backed stablecoin, following a proof of concept that validated its technical design.

BDACS Targets Payments and Public Disbursements With KRW1 Stablecoin

KRW1 is trademarked by BDACS and issued on the Avalanche (AVAX) blockchain. The company said its system links fiat deposits, token issuance, and onchain verification into a loop. Escrowed South Korean won held at Woori Bank backs each token, and a banking API provides proof-of-reserves checks.

BDACS described the proof of concept as limited to technical validation with no public circulation of KRW1. Woori Bank participated in the pilot and safeguards the collateral, according to BDACS. The firm said the bank’s role could serve as a template for regulated support of issuance, custody, and settlement.

BDACS remarked that it remains open to working with other banks as the initiative scales. BDACS further cited the Korea Internet & Security Agency’s assessment of Avalanche’s suitability for public-sector use and named Avalanche a global partner.

“The successful test pilot of KRW1 demonstrates the need for a highly-performant and reliable blockchain tailored for a regulatory-compliant stablecoin,” said Justin Kim, head of Asia at Ava Labs. BDACS indicated plans to expand to other blockchains to improve interoperability.

Planned use cases include remittances, payments, investments, and deposits, plus public-sector disbursements such as emergency relief with lower transaction fees. BDACS said it is seeking partnerships across finance and technology and is exploring collaboration with USD-backed stablecoins to support cross-border liquidity.

The company expects KRW1 to be evaluated as a technical standard under Korea’s pending Digital Asset Basic Act. “BDACS is not just a custody service provider,” CEO Harry Ryoo said, adding that KRW1 is intended as infrastructure for corporate, institutional, and public-sector clients.

KRW1’s debut ties bank money to onchain receipts. If audits, banking links, and throughput survive daily real traffic, the token may settle into a practical role: moving won across rails that compute and reconcile in Korea’s tightly watched, but ever-changing market.