Source: Kaia
As part of KB Financial’s experiment, a won stablecoin was converted into a US dollar stablecoin and delivered to a bank account in Vietnam.
The full transfer was completed in under 3 minutes, with an 87% fee reduction compared to the same transaction executed through the SWIFT network, a Kaia spokesperson told Cointelegraph in an email.
The SWIFT network is the messaging network for international payments used by thousands of banks and financial institutions worldwide.
The offline payment test was executed through Seoul-based coffee franchise Hollys, enabling users to pay through QR codes, without needing to install a cryptocurrency wallet.
Related: Vietnam eyes Q3 launch for regulated crypto asset market: Report
KB is reportedly preparing to launch stablecoin services once digital asset regulations are established in the country.
But the country’s proposed Digital Asset Basic Act has repeatedly stalled due to disagreements between regulators over who should be allowed to issue stablecoins.
The Bank of Korea, the nation’s central bank, has argued that banks should retain majority ownership of stablecoin issuers, while the Financial Services Commission warned that strict limitations could slow innovation.
Formal deliberations are unlikely to resume before South Korea’s June local elections.
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