South Korea · Bitcoin Magazine
South Korean Lender Jeonbuk Bank to Offer Bitcoin-Backed Loans
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The South Korean bank has become the first in the country to offer the bitcoin-related service.
Key facts
- Jeonbuk Bank has become the first bank in South Korea to offer won-denominated loans backed by bitcoin, according to reports
- The loan is the first concrete result of the “Crypto Bank” vision put forward by Jeonbuk Bank President Park Chun-won
- The subsidiary of JB Financial Group has started offering the loans, according to exclusive Monday reporting by the country’s Edaily paper
- The South Korean bank has become the first in the country to offer the bitcoin-related service
Summary
Jeonbuk Bank has become the first bank in South Korea to offer won-denominated loans backed by bitcoin, according to reports. The subsidiary of JB Financial Group has started offering the loans, according to exclusive Monday reporting by the country’s Edaily paper. For now, the product is limited to corporate customers raising working capital, and bitcoin is the only eligible collateral. If a borrower defaults, the bank won’t take the coins but will rather liquidate them through enforcement procedures such as a court-ordered sale and recover the loan from the proceeds.