Won

Won (원; 圓; McCune-Reischauer wŏn; Revised Romanization: won) is the official currency of North Korea and Korea from the south. However, their changes are not equal.

¹The exchange rate is shown here as of March 27, 2020.

Historically, the won was divided into 100 jeon (전; 錢; McCune-Reischauer: chŏn; Revised Romanization: jeon; en North Korea is also romanized as jun). In South Korea they are no longer used, because the smallest amount of money that normally changes hands is 100 won, (about 8 US cents); and the smallest coin in circulation is 10 won (less than one cent).

Koreans also use the word jeon to translate the words “cent” and “penny”, and in this context it can accompany bul, which means “dollar”..

History

North Korean Won

The won became the currency of North Korea on December 6, 1947, replacing the Korean yen that was still in circulation. The North Korean won was intended exclusively for North Korean citizens, and the Bank of Commerce (무역은행) issued an independent currency (or currency certificates) for visitors, as did many other socialist states. However, North Korea produced two types of currency certificates, one for visitors from "socialist countries", which were red in color and hence the nickname "red won", and the other for visitors from "socialist countries". capitalists", which were blue/green in color and therefore known as "blue won". Foreign exchange certificates were used until 1999, and were officially abolished in 2002, in favor of paying visitors directly with foreign currency, especially the euro.

South Korean Won

During colonial times, the won was replaced at par with the yen. In 1945, after World War II, Korea was divided, resulting in two different currencies, both called won, for the South and the North. Both the southern and northern won replaced the yen at par. The first South Korean won was subdivided into 100 Jeon.

The South Korean won was initially pegged to the US dollar at a rate of ₩15 = US$1.