Kakao joins Circle on stablecoin payments

• Kakao signed a digital asset agreement with Circle.
• The companies will study blockchain payments and a Korean won stablecoin.
• Both companies said they will explore new payment and settlement services.

Kakao signed an agreement with Circle to develop blockchain payment services and explore a Korean won stablecoin.

Kakao Pay and Kakao Bank also joined the agreement to study digital asset services and payment technology.

"We hope to explore opportunities to drive innovation in line with the evolving regulatory environment by combining our global infrastructure with Kakao Group's platform and financial services ecosystem," said Circle Chief Commercial Officer Kash Razzaghi.

The companies said they will examine cross-border payments, settlement services and tokenised finance, while any stablecoin plans depend on future regulations.

Circle issues the USDC stablecoin and provides blockchain payment technology for businesses and financial institutions.

South Korea is preparing new digital asset rules, and several companies are studying stablecoin payment services.