Travel Wallet and Avalanche Sign MOU for Joint Development of Stablecoins

Travel Wallet announced on the 1st that it has signed a strategic memorandum of understanding (MOU) with the blockchain platform Avalanche (AVAX) to formalize the joint development of KRW-based stablecoins and programmable stablecoins. Avalanche has previously commercialized programmable stablecoins in collaboration with Alipay and Grab under the approval of the Monetary Authority of Singapore.

Travel Wallet plans to specify the technological direction and business model developed jointly with Avalanche to issue a stablecoin pegged 1:1 to the value of the Korean won. The companies will also jointly design a programmable stablecoin model incorporating smart contract technology. Their goal is to build next-generation digital financial infrastructure that automates various cash flows occurring in traditional finance.

A programmable stablecoin is a digital currency based on smart contracts that activates automatically when predetermined conditions are met. It enables the automation of payment settlements and fund transfers across all aspects of finance, such as escrow, payouts, and installment payments, without human intervention. Notably, matters like 'automatic payment upon goods receipt confirmation' or 'regular monthly payments' can be processed reliably on the blockchain.

Travel Wallet and Avalanche plan to build a next-generation financial payment infrastructure centered on stablecoins, applicable in all areas for both consumers and enterprises, such as on- and offline integrated payments at home and abroad, B2B settlement for corporate clients, and financial automation solutions.

Hyungwoo Kim, CEO of Travel Wallet, stated, "This project is an attempt to redesign how finance works through technology, beyond just digital payments," adding, "It has great potential to expand into a global payment infrastructure as well as domestically."

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