Jeonbuk Bank offers South Korea’s first bank-issued Bitcoin-backed loans
Photo: The Cryptonomist
South Korea’s Jeonbuk Bank introduced the country’s first bank-issued won loans secured by Bitcoin on October 12, 2026, giving corporate customers access to business financing against their cryptocurrency holdings. The Bitcoin-backed loans separate lending from custody: registered providers hold the collateral, while the bank supplies won without taking ownership of the pledged assets. Key takeaways Jeonbuk Bank’s initial offering serves corporate borrowers using Bitcoin collateral. Registered custodians, rather than the lender, hold the pledged cryptocurrency. Rules effective October 1, 2026, permit court-ordered collateral sales following default. The bank values collateral using global exchange prices and volatility measures.
Source: The Cryptonomist
