- Shinhan Bank and Siam Commercial Bank’s SCB TechX recorded real-time, low-cost remittances.
- The pilot on the Hedera network involved cross-border stablecoin payments using South Korean won (KRW), the Thai Baht (THB), and the New Taiwan dollar (NTD).
Shinhan Bank and Siam Commercial Bank’s SCB TechX have reportedly completed a proof-of-concept (PoC) pilot for stablecoin remittances on the Hedera network.
This was the second PoC test on Hedera’s distributed ledger network after the initial program launched in 2021 and which involved Standard Bank. In this latest pilot, the company sought to check on the efficiency, cost and settlement speed of cross-border payments.
1/ In a continuation of their work on #DLT-enabled cross-border remittances, @ShinhanBankENG – in collaboration with SCB TechX & other financial institutions – has today announced the successful completion of a #stablecoin remittances PoC pilot on #Hedera.https://t.co/OUAxOfU2U4
— Hedera (@hedera) July 18, 2023
According to details shared in a press release, the banks achieved real-time foreign exchange settlement across three currencies – the South Korean won (KRW), the Thai Baht (THB), and the New Taiwan dollar (NTD).
Shinhan Bank’s Chief of Blockchain division Byunghee Kim said in a statement:
“The successful completion of this second PoC marks an important step forward in our efforts to make cross-border payments faster, cheaper, and more accessible to people around the world… With this next phase of PoC, we are pleased to have demonstrated how the use of Hedera’s EVM-compatible technology helps eliminate intermediaries, reduce costs, and speed up the remittance process.”
EVM-compatibility for the PoC means the system will be open to any EVM-based stablecoin issuers, with this likely to also see more banks and other financial institutions tap into its potential as the cross-border payments ecosystem expands.