KakaoBank Signals Entry Into Stablecoin Arena With Strategic Filings and Task Force Support

South Korea's largest internet-only bank, KakaoBank, has indicated its readiness to enter the stablecoin sector, aligning with the country’s broader push to regulate Korean won-backed digital currencies, according to The Block.

During its first-half 2025 earnings call, KakaoBank CFO Kwon Tae-hoon announced that the bank is actively reviewing opportunities in digital finance, including the issuance and custody of digital assets. These efforts are being developed in close coordination with Kakao Group’s newly formed stablecoin task force.

According to industry sources, the task force brings together key subsidiaries including Kakao, KakaoPay, and KakaoBank, and is led by their respective CEOs: Jung Shin-ah, Shin Won-geun, and Yoon Ho-young. The group is holding weekly meetings to study both domestic and international stablecoin trends and craft a long-term strategy. A Kakao spokesperson confirmed that the company is still "in the early stages" of shaping its direction in the stablecoin space.

This initiative is part of Kakao Group’s broader ambition to leverage its end-to-end fintech infrastructure. By combining digital banking via KakaoBank, payment solutions through KakaoPay, and securities services from Kakao Securities, Kakao aims to support the full stablecoin lifecycle: issuance, platform operation, payments, and custody.

Financial Strength Underpins Expansion Plans

KakaoBank’s foray into stablecoins is backed by strong financial results. According to The Korea Herald, for H1 2025, the bank posted a net profit of 231.4 billion won ($166.5 million), up 14% year-over-year, driven largely by a surge in non-interest income. This growth was largely driven by non-interest income, which surged 30.4% to 562.6 billion won, now accounting for 36% of total revenue.

Investment income reached 345.8 billion won, reflecting strategic asset allocation. However, interest income declined 2% to 999.9 billion won, pressured by tighter regulations and rising borrowing costs. The net interest margin fell 17 basis points to 1.92%.

The bank’s user base expanded to 25.86 million customers, with 1 million new signups this year alone. Monthly active users rose to 19.9 million, highlighting KakaoBank’s continued dominance in South Korea’s digital banking space.

Trademark Filings Signal Stablecoin Intent

KakaoBank and KakaoPay have begun securing intellectual property related to stablecoin initiatives. KakaoBank filed 12 applications with the Korean Intellectual Property Office, covering four name variations: BKRW, KRWB, KKBKRW, and KRWKKB. Each name combines "KRW," the currency code for the Korean won, with "KKB," a reference to the bank’s name.

The applications fall under three categories related to cryptocurrency-based electronic transfers and financial services. A KakaoBank representative stated that the filings were a preemptive measure to prepare for developments in the stablecoin market, adding that the bank is closely monitoring relevant legislation and market trends.

KakaoPay has also submitted 18 trademarks applications, filed earlier in June 2025. These filings include various combinations of "KRW," "K," and "P," and are categorized under virtual asset transactions, electronic money transfers, and financial brokerage services.

Kakao’s Full-Stack Play for Stablecoin Dominance

Among South Korean tech firms, Kakao is widely seen as the best positioned to lead stablecoin adoption. Its fully integrated ecosystem spans:

• KakaoTalk: a ubiquitous mobile platform that can serve as both wallet and user interface

• KakaoBank: capable of holding fiat reserves to back the stablecoin

• KakaoPay: providing the infrastructure for real-world transactions and integration

Unlike firms that depend on external partners, Kakao can operate a fully in-house stablecoin network. This self-reliance gives it a strategic edge as global demand for trusted and regulated stablecoins grows.

Investor Confidence and Market Impact

Investor confidence in South Korea’s stablecoin future is rising. Samsung Securities recently upgraded its outlook on fintech companies likely to benefit from this shift. On August 1, the firm named KakaoPay and NHN KCP as top picks in the sector, raising their target prices by 23.4% and 24.8%, to 79,000 won and 20,200 won respectively.