Shares of major South Korean banks surged following trademark filings for stablecoins, signaling growing institutional interest in digital assets.
According to Google Finance data, at least three South Korean banks that recently applied for Korean won stablecoin trademarks saw their stock prices increase by 10% to almost 20%. The market reaction suggests investor optimism around the banks’ potential entry into the cryptocurrency sector.
The filings came shortly after the inauguration of the country’s 21st president, Lee Jae‑myung, on June 4. His campaign included crypto-friendly promises, including the development of a Korean won-pegged stablecoin.
South Korean bank stocks surge amid stablecoin hype
Data from the World Intellectual Property Organization (WIPO) shows that Kakao Bank filed for stablecoin-related trademarks on June 23. South Korean media platform Industry News reported that the company filed for at least 12 crypto-related trademarks.
A day later, its stock price jumped to 37,000 Korean won ($27) from $22.60, a 19.3% increase.
Kookmin Bank, a subsidiary of KB Financial Group, also filed for stablecoin-related trademarks on June 23. The group’s shares saw a modest initial gain a day after the filing.
Its stock price climbed to $82 on June 24, a 4.3% increase from $78 before the filing.
Kookmin’s stock price has continued to rise. At the time of writing, its shares traded at $89, up 13.38% since it filed for stablecoin trademarks.
On June 27, the Industrial Bank of Korea also filed for stablecoin trademarks, causing an uptick in its shares. The bank’s stock currently trades at $14.70, up 10.1% since its filing, when it traded at $13.30.
Cointelegraph contacted Kakao Bank, Kookmin Bank and the Industrial Bank of Korea for more information on their stablecoin plans but had not received any responses by publication.
Other major banks in the country have expressed their desire to team up and launch a stablecoin pegged to the currency.
Related: South Korea’s new president will bolster crypto, but scandals prevail
Researcher says South Korea faces “stablecoin bubble”
100y, a research lead for the crypto research company Four Pillars, said on X that the current situation puts South Korea in a “stablecoin bubble.”
Despite the lack of clear rules, banks have been jumping into the stablecoin hype, benefiting from increased stock prices after filing stablecoin-related trademarks.
The researcher added that despite banks rushing to capitalize on the momentum, South Korea lacks clear regulatory guidance on stablecoins, creating uncertainty around long-term viability.
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