Hecto Financial secures small-sum overseas remittance license

Minseung Kang

Summary

Hecto Financial said it has secured authorization for the small-sum overseas remittance business and will make a full-fledged entry into the P2P overseas remittance market.
The company said it will pursue new businesses such as stablecoin settlement based on the license and plans to launch an FX remittance platform within the year.
The company said the license will reduce its reliance on bank infrastructure and is expected to strengthen the competitiveness of its cross-border settlement business by streamlining transaction structures, cutting costs and improving processing speed.

Forecast Trend Report by Period

Hecto Financial is entering the person-to-person overseas remittance market after obtaining a license for the small-sum overseas remittance business.

According to industry sources on the 10th, Hecto Financial received authorization for the small-sum overseas remittance business from financial authorities on the 4th. Based on the license, the company plans to expand its P2P overseas remittance services and pursue new businesses such as stablecoin settlement.

Hecto Financial aims to launch a foreign-exchange remittance platform within the year, providing P2P transfers and remittance of payment proceeds for small merchants on a single platform.

It is also preparing a service that combines digital wallets with FX remittances for foreign residents in Korea and overseas workers, in line with ongoing regulatory improvements related to digital assets in Korea.

The company said the new license will allow it to operate FX functions in-house that previously depended on bank infrastructure. It expects this to boost the competitiveness of its cross-border settlement business by streamlining transaction structures, cutting costs and improving processing speed.