LayerZero Korea Chief Champions Stablecoin Revolution in Asia's Digital Economy

Stablecoins have the potential to transform blockchain technology into the standard infrastructure for global financial systems, much like the internet's TCP/IP protocol. Im Jong-kyu, the head of LayerZero Korea, shared this vision during the Blockchain Leaders Summit (BLS 2025) in Tokyo. In his discussion with Block Media, Im emphasized the pivotal role stablecoin adoption will play, particularly in Asia’s rapidly advancing digital economy.

According to Im, while dollar-backed stablecoins dominate today’s market, the next growth wave is likely to revolve around stablecoins linked to local fiat currencies such as the Korean won, Japanese yen, and Hong Kong dollar. As demand surges for these alternatives, the practical use cases of stablecoins—not the blockchain they originate from—will be the true measure of their success.

LayerZero, the firm led by Im, has developed an innovative cross-chain platform that connects multiple blockchains seamlessly. This platform eliminates technical barriers for transferring assets and deploying applications between chains, enabling developers and businesses to adopt blockchain solutions without wrestling with cumbersome bridging processes. Im believes this connectivity will be critical for integrating government-issued stablecoins into mainstream financial frameworks.

Asia: The Epicenter of Stablecoin Adoption

Asia stands uniquely poised to drive the global stablecoin revolution. Im argues that the region’s interconnected digital ecosystem and expansive super-app infrastructure offer an ideal breeding ground for stablecoin adoption. While dollar-backed stablecoins enjoy market dominance, an increasing number of countries in Asia are exploring stablecoins pegged to their native currencies to strengthen payment systems.

Im highlights examples such as Hong Kong, Thailand, and Japan, which are already taking steps toward developing fiat-backed stablecoins. He notes that Asia’s advantage lies in the ubiquity of digital platforms, which accelerate integration compared to regions with less pervasive digital ecosystems.

South Korea exemplifies this potential, with the ability to develop a Korean won-based stablecoin that not only serves domestic platforms but also integrates into wider payment systems across Asia. "Our platform is ready to act as the connective layer that enables these systems to operate cohesively," Im remarked.

LayerZero’s Secure and Efficient Messaging Framework

LayerZero stands out in the blockchain space for its unique messaging infrastructure, which eliminates traditional token-wrapping and asset-locking methods commonly employed by blockchain bridges. According to Im, such conventional approaches increase security risks, including potential hacks and custody vulnerabilities.

LayerZero addresses these challenges by transmitting only transaction-related messages while leaving the underlying asset untouched. Im likens this method to the SWIFT global financial messaging system, which facilitates international settlements by transmitting instructions rather than physically moving money.

This innovative framework has positioned LayerZero as the dominant player in cross-chain connectivity. Currently, LayerZero links over 140 blockchains globally and handles approximately 70% of all cross-chain transactions. "If you're swapping assets between blockchains, there's a high probability LayerZero is managing that process," Im stated, underscoring the platform's prominence.

Beyond token transactions, LayerZero’s infrastructure has started facilitating applications like NFTs, decentralized identity solutions (DID), and diverse digital asset transfers. These evolving use cases aim to make Web3 a seamless part of everyday life by providing a secure foundation for connecting disparate blockchains. “The use value of stablecoins lies in the environments and services they unlock—not in the blockchain they originate from,” Im reaffirmed.

Establishing Blockchain’s TCP/IP Moment

As blockchain technology advances, security remains a fundamental priority for LayerZero. Addressing the vulnerabilities tied to centralized validator systems—which have historically led to bridge hacks—LayerZero implements a decentralized validation network (DVN). This network, supported by over 50 global companies including Google, PayPal, and BitGo, mitigates security risks while providing scalability.

LayerZero offers financial institutions flexibility to design customized internal validation systems while leveraging the benefits of its global distributed network. "Large institutions often hesitate to fully delegate security to external entities, and our platform allows them to retain control while benefiting from decentralized efficiency," Im explained.

Looking ahead, LayerZero aims to establish itself as the "TCP/IP of Blockchain," promising to unify disparate protocols and assets. Much like TCP/IP standardized internet communication and connected diverse networks, LayerZero seeks to create a universal infrastructure seamlessly linking blockchain ecosystems.

Short-term priorities include the development of fiat-backed stablecoins under a unified token standard called Omnichain Fungible Token (OFT). Longer-term ambitions involve creating a global on-chain financial infrastructure that enables international investment firms and institutions to directly engage with Asian blockchain projects.

"In the near future, our goal is to bring stablecoins issued in Asia under a unified standard, paving the way for cross-border financial integration," Im concluded, outlining his optimistic vision for blockchain’s transformative role in global finance.