Jeonbuk Bank becomes first South Korean lender to offer Bitcoin backed loans

South Korea's Jeonbuk Bank has introduced the country's first bank issued won loans backed by Bitcoin, allowing corporate customers to use their cryptocurrency holdings as collateral for business financing. Jeonbuk Bank has become the first South Korean bank to introduce Bitcoin backed won loans, initially limiting the service to corporate customers seeking business operating funds. The bank will accept Bitcoin as collateral through registered digital asset custodians without taking direct ownership or control of the pledged cryptocurrency. New enforcement rules effective October 1 allow the bank to recover unpaid loans through court ordered sales of Bitcoin collateral.

Also reported by Coinotag.

Source: crypto.news