South Korea Joins Global Initiative to Tokenize Cross-Border Payments
South Korea Joins Global Initiative to Tokenize Cross-Border Payments
South Korea is joining a global initiative by central bankers and commercial lenders from seven countries to explore tokenization for cross-border payments. Together with the Bank for International Settlements, this initiative is exploring tokenization for cross-border payments, marking a major milestone for Korea. The country’s efforts to develop a digital currency through its central bank are an important step.
Explore Cross-Border Payments
According to a report by Korea Times, the addition of Project Agora, a global financial firm, could provide new opportunities for private finance and business firms, particularly in trade finance. The project aims to use tokenization to increase the speed of international payments, reduce costs, and maintain the integrity of international payments.
Tokenization of transactions and efficiency
You can also learn more about: Shin Hyun-song is an economic adviser and head of research at the BIS. He highlighted Project Agora as a tool that improves international trade. Payments By addressing the efficiency of cross-border transactions while maintaining standards, integrity and governance are critical to the system. Project Agora brings together the BOK with the Bank of France, Bank of Japan, Bank of Mexico, Swiss National Bank, Bank of England and the Federal Reserve Bank of New York.
South Korea recently modernized its foreign ministry. Stock exchange regulations simplify trading processes for offshore investors. These initiatives, led by the Bank of Korea and other major financial institutions, aim to streamline securities transactions and strengthen communication between foreign investors and the Korean market
The traditional method of foreign exchange settlement in Korea is challenging. Foreign investors face challenges posed by time and other factors. There are differences in interbank transfer methods. Recent regulatory changes have reduced the risk of settlement errors. This new framework allows investors to choose their own settlement methods. Choose a preferred foreign exchange trading institution for more flexibility.
