Bank of Korea Governor Lee Ju-yeol says cryptocurrencies cannot be seen as legitimate forms of payment nor can they function as money.

Lee made the remark to reporters on Thursday after the bank's monetary policy committee decided to keep the nation's benchmark interest rate steady at one-point-five percent.

When asked about the fallout of banning cryptocurrency trade, the central bank governor said impacts on financial stability triggered by price fluctuations resulting from the ban would likely be limited for now. 

He added that digital currencies' price levels have fluctuated wildly as of late due to their speculative nature.