According to the Seoul Economic Daily, the offshore-issued Korean won stablecoin KRWQ has removed the KTB tokenized Korean government bonds from its reserve assets; currently, its reserves consist only of USDC and frxUSD. KTB was launched by Shinhan Securities and the RWA platform Etherfuse, with within-one-year Korean government bonds as the underlying assets. In February this year, KRWQ added it to its reserves and at one point claimed to be the first Korean won stablecoin to use tokenized Korean government bonds as reserves.

Shinhan Securities said that after learning that KTB is being used by KRWQ as a reserve asset, it believes there may be issues, and therefore requested that Etherfuse remove it, emphasizing that “there is no partnership with KRWQ.” KRWQ has also previously been questioned for reportedly allowing tokens to be obtained via DEX without KYC and for purchasing Korean gift cards; the related gift card service was subsequently suspended.