Shinhan Bank Joins Korea-Europe Stablecoin Remittance Pilot
Summary
- Shinhan Bank said it will participate in a project testing cross-border remittance methods using stablecoins backed by local currencies in South Korea and Europe.
- The project, called Pangea, includes Shinhan Bank, Qivalis, SWIFT, Chainlink and Fairsquare Lab.
- The participants plan to design and test a framework for the direct exchange and settlement of won- and euro-denominated stablecoins, then later expand the pilot to cover cross-border remittances and interbank fund settlement.
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Shinhan Bank will take part in a project testing cross-border remittances using stablecoins backed by local currencies in South Korea and Europe.
The bank is joining Pangea, a project to verify overseas remittances using stablecoins with participation from South Korean and European banking institutions, Newsis reported on June 25.
Participants include Shinhan Bank and other South Korean banks, Qivalis, a European banking entity pursuing issuance of a euro-denominated stablecoin, as well as SWIFT, Chainlink and Fairsquare Lab.
The group plans to design and test a structure for the direct exchange and settlement of won- and euro-denominated stablecoins. It will examine whether that can reduce the number of financial institutions and currencies involved in existing cross-border remittance procedures. The participants will also review the technical and operational framework needed to link country-specific stablecoins.
The project plans to broaden the pilot's scope to cross-border remittances and interbank fund settlement after completing the design work and developing a trial model.
Minseung Kang
minriver@bloomingbit.ioBlockchain journalist | Writer of Trade Now & Altcoin Now, must-read content for investors.