Kakao Pay: “Stablecoins are at the heart of AI payments…reviewing potential for new businesses”

Kakao Pay is reportedly moving to seriously review the potential adoption of stablecoins as a next-generation payment method aimed at the era of artificial intelligence (AI).

According to the industry on the 7th, Shin Won-geun, CEO of Kakao Pay, said at the “4th Korea Top Executive Forum” held the previous day at the Westin Josun Hotel in Jung-gu, Seoul, “Stablecoins are not a passing fad but a trend that will ultimately have to be adopted,” adding, “In an AI-based transaction environment, a means of payment that can be executed immediately without financial-institution approval is needed.”

Kakao Pay is reviewing a range of use cases leveraging stablecoins. Measures discussed include lowering fees through secure payments for peer-to-peer transactions, loyalty programs linked to fandom tokens, and direct payments using Web3 wallets in games.

The company also said the scope for use is broad in corporate finance. Stablecoins could be applied across global cash flows, including settlements between headquarters and overseas subsidiaries, payments to partner companies, and cross-border salary remittances for overseas personnel. Overseas, practical use cases are also increasing, such as stablecoin-based settlement systems and payroll payment platforms.

Shin noted, “In Korea, there is still no clear framework for stablecoins,” and warned that “if a focus on stability alone delays real-world use, the market could be ceded to overseas U.S. dollar stablecoins.” He added that “a balance between stability and innovation is needed.”