The Bank of Korea (BOK) has formally launched the second phase of Project Han River, its tokenized deposit and wholesale CBDC initiative, with plans to expand participation to nine banks and lay the groundwork for commercialization.
The project has had a bumpy path to this point. After the first phase pilot wrapped up in June 2025, participating banks became distracted by stablecoin initiatives and complained about the cost of the trials, with reports indicating the seven banks collectively spent 35 billion won ($23 million). Press reports in mid 2025 suggested the central bank was suspending Phase 2 plans, with the topic to be revisited in 2026. Governor Rhee Chang Yong reportedly visited bank CEOs personally to secure their continued participation. By early September 2025 the project was back on track after the BOK identified a compelling use case: using tokenized deposits for government grant disbursements worth 110 trillion won ($73 billion).
Phase 1 ran from October 2023 through August 2025, with live retail trials between April and June 2025. Around 81,000 electronic wallets were opened and 114,880 transactions were processed. Consumers could hold up to 1 million won ($666) in tokenized deposits and use them at selected merchants including convenience stores, bookshops, coffee chains and online retailers. Three digital voucher programs were tested: a Seoul youth culture pass, a Busan university scholarship and a Daegu library voucher.
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