Shinhan and SBI explore yen stablecoin payments in Korea

• Shinhan Card and two SBI Group subsidiaries are exploring yen stablecoin payments for Japanese visitors to South Korea.
• The proposed partnership covers card-linked merchant payments, wallet transfers and cross-border trade settlement.
• The companies will assess technical requirements and compliance safeguards before considering commercial applications.

Shinhan Card has signed a memorandum of understanding with SBI VC Trade and SBI XDC Network APAC to explore yen stablecoin payments in South Korea.

The proposed service could allow Japanese visitors to pay South Korean merchants using yen-denominated stablecoins through card-linked payment services.

The companies will assess payment processes, user experience and technical requirements before considering commercial applications.

Their joint study also covers wallet-to-wallet transfers and stablecoin-based settlement for cross-border trade between Japan and South Korea.

The partners will examine how stablecoin payments could connect with existing financial systems while addressing anti-money-laundering and fraud-detection requirements.

SBI XDC Network APAC will work with Shinhan Card and SBI VC Trade to explore applications for XDC Network blockchain infrastructure.

Shinhan Card has around 20 million cardholders, providing an existing payments network that could support the proposed service.

The agreement establishes a framework for further study, but the companies have not announced a commercial launch date.