Jeonbuk Bank Launches South Korea's First Won Corporate Loans Backed by Bitcoin Collateral

Jeonbuk Bank has become the first South Korean commercial lender to offer won-denominated corporate loans backed by Bitcoin collateral. Under the new framework, corporate borrowers pledge their Bitcoin with registered third-party digital asset custodians, enabling the bank to avoid direct custody and balance-sheet crypto exposure. Debt recovery is supported by revised South Korean civil enforcement rules effective October 1 that allow court-supervised sales of pledged digital assets. Jeonbuk Bank assesses collateral values using a proprietary pricing model based on weighted global exchange prices, though specific loan terms like loan-to-value ratios and interest rates remain undisclosed.