According to PANews news on July 31, according to It.chosun, the Bank of Korea will exclude Seoul, the capital of South Korea, from potential areas for testing its central bank digital currency (CBDC). The pilot program will take place next year, possibly in Jeju Island, Busan or Incheon, in conjunction with commercial banks. Jeju Island, Busan, and Incheon are all regions that have issued local currencies in the past. The program will test the use of CBDC for payments and explore the distribution of CBDC to the public.


South Korea has been ramping up CBDC exploration in recent years and has been working on the project since at least 2020. The central bank completed the first phase of the CBDC simulation project in December 2021, which tested functions such as the manufacture, issuance and distribution of CBDC in a simulated environment.
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