Source: Bank of Korea to Restart CBDC Pilot Program

BlockBeats News, December 21st, according to Decenter citing sources, the Bank of Korea has recently sent a formal document regarding the second round of CBDC testing to major banks. A Bank of Korea official stated, "Details including specific methods and schedule are currently under discussion."

The second round of testing is considering distributing part of the government subsidies in the form of digital currency. The purpose is to use CBDC to restrict the use of subsidies, and reduce the management and administrative costs associated with subsidy distribution. The Bank of Korea had previously launched a three-month CBDC pilot project in April, involving seven participating banks, but later suspended the project. At that time, the pilot project was criticized for its limited practical application value and for imposing billions of Korean won in costs on participating banks.