A South Korean fintech firm has launched a new stablecoin. KRWb, from BxB Inc., will be the first digital token backed by South Korea's national currency, the Won (KRW).
According to a Medium post from BxB, the KRWb will initially be launched in a beta version on the AirSwap decentralized exchange. It will subsequently be available on more DEXs as well as regular crypto exchanges in Korea and globally. The stablecoin will be "buyable with Bitcoin (BTC), Ether (ETH), KRW, USD, True USD (TUSD) and more".
KRWb is an ERC-20 token, and will be pegged 1:1 to the KRW. BxB Inc. apparently has around 400 million won ($360,000) as initial reserves to back the stablecoin, with funds from from Singapore-based BxB Capital PTE Ltd.
Although Tether (USDT) still dominates the market, other stablecoins are growing in popularity, and a number of new ones have been launched since 2018. Although most are still pegged to the USD, other currencies are increasingly being used as the fiat peg for these digital tokens, which are primarily used as a buffer against the volatility of crypto prices.