IQ AI, in partnership with Frax Finance, has launched KRWQ, the first stablecoin pegged 1:1 to the South Korean Won. Built on LayerZero's Omnichain Fungible Token (OFT) standard, the stablecoin is designed to operate as a single native asset across more than 150 connected blockchains.

This development directly addresses the dominance of USD-backed stablecoins like USDT and USDC. By creating a compliant, multi-chain stablecoin for a major national currency, the project aims to provide a reliable on-chain version of the Korean Won for the global digital economy. KRWQ is initially live on the Ethereum and Base networks, with trading available on Aerodrome.

South Korea, home to some of the world's most enthusiastic crypto traders, has seen explosive growth in digital assets despite a history of regulatory crackdowns. The country accounts for about 10% of global crypto trading volume, according to Chainalysis data, but its stablecoin landscape has remained underdeveloped due to stringent capital controls and anti-money-laundering rules. KRWQ's creators emphasize its regulatory compliance, with reserves audited and held outside the country to navigate these hurdles. Notably, the token is not yet offered to South Korean residents, as local stablecoin regulations are still in draft form, expected to be finalized by early 2026.