South Korean-based Shinhan Financial institution, at present introduced that it has accomplished the event of a Proof-of-Idea (PoC) constructed on the Hedera community, leveraging stablecoins and targeted on worldwide remittances, with a megabank exterior of Korea.
Using the Hedera Token Service (HTS) and Hedera Consensus Service (HCS), the undertaking goals to check the issuance and distribution of stablecoins, utilized to a monetary use case that usually suffers from excessive charges, lengthy waits, and the absence of a monitoring characteristic.
Shinhan plans to mint South Korean Gained (KRW)-backed stablecoins and the partnering financial institution will mint stablecoins backed by their native forex. Customers will be capable of purchase KRW-based stablecoin that Shinhan points, and ship them to an account on the accomplice financial institution.
The recipient will then be capable of obtain the funds in a regionally denominated stablecoin and alternate it for the native forex. The 2 banks will use the Hedera Consensus Service (HCS) each to trace and document transactions and ensure the overseas alternate fee on the time of every transaction.
Officers at Shinhan Bank mentioned, “Becoming a member of the Hedera Governing Council this spring has allowed us to considerably speed up our engagement with different international trade leaders to leverage the facility of Hedera’s quick, honest, inexperienced public distributed ledger. Price-effective, environment friendly worldwide remittance is the right, real-world monetary use case to construct on a community that gives Hedera’s pace and low price.”