BDACS, ZEKTO, LK Ventures Team Up to Pilot KRW1 Stablecoin Payments
Summary
- BDACS said it signed a memorandum of understanding with ZEKTO and LK Ventures to pursue a pilot project for a payment system using won-denominated stablecoin KRW1.
- The agreement will apply KRW1 to Life4Cuts' offline payment and settlement infrastructure, enabling real-time payments between digital assets and traditional finance.
- BDACS and LK Ventures said they expect Life4Cuts to improve payment convenience for foreign tourists while supporting the Korean won's global on-chain expansion and a broader expansion of payment services to overseas stores.
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BDACS, a digital-asset custody company, said Aug. 10 that it signed a memorandum of understanding with digital-asset payment solutions provider ZEKTO and LK Ventures, operator of the self-photo booth brand Life4Cuts, to build a payment system using a won-denominated stablecoin.
The three companies will run a pilot project applying BDACS-issued stablecoin KRW1 to in-store payment and settlement systems. Customers will be able to use the won stablecoin directly at Life4Cuts stores.
KRW1 is a compliance-focused stablecoin issued against the Korean won. It is designed to serve as payment and settlement infrastructure linking on-chain networks with existing financial systems, supporting value transfers between digital assets and traditional finance as well as real-time payments.
ZEKTO plans to connect its proprietary payment and settlement system to KRW1 for use in offline retail settings. The company said it obtained patents in March for blockchain-based collateralized stablecoin operations management technology and a stablecoin service system.
Life4Cuts operates about 1,000 self-photo booth stores in 30 countries. The company expects the introduction of won stablecoin payments to make transactions easier for foreign tourists visiting its South Korean stores and eventually expand the payment service to overseas locations.
BDACS Chief Executive Officer Ryu Hong-yeol called Life4Cuts an ideal venue to demonstrate a real-world payment use case for KRW1. He added that the company aims to reshape the offline payments ecosystem with stablecoin infrastructure and lead the global on-chain expansion of the Korean won.
ZEKTO Chief Executive Officer Lee Yu-jin said the company will prioritize stability and reliability in building a next-generation Web3 payments infrastructure that users and merchants can trust. The goal, Lee said, is to broaden the use of blockchain payments in everyday consumer spending.
LK Ventures Chief Executive Officer Lee Ho-ik said introducing digital-asset payment infrastructure at Life4Cuts would lower payment barriers for foreign customers and support future expansion across its overseas store network.
Suehyeon Lee
shlee@bloomingbit.ioI'm reporter Suehyeon Lee, your Web3 Moderator.