HashKey, Kbank, and BPMG Join Forces for KRW Stablecoin Payments

HashKey Group is partnering with Kbank, a South Korean bank, and BPMG Group, a blockchain firm, to create new ways to use digital assets for payments and settling transactions.

Summary

This partnership is part of HashKey’s plan to expand across Asia and will focus on using stablecoins pegged to the Korean won to make international payments and settle trades. HashKey, Kbank, and BPMG will work together, combining HashKey’s digital asset technology, Kbank’s banking services, and BPMG’s technical expertise to develop and test innovative financial systems.

These companies haven’t yet said when a stablecoin might be available or officially confirmed they’re creating one. Any product they develop will still need to be approved by regulators and meet local laws.

This agreement doesn’t mean a stablecoin or money transfer service is launching right away. It simply establishes a plan for the companies to explore potential business ideas, figure out who will handle what, and build the necessary technology – all with the understanding that South Korean regulators still need to give the go-ahead.

HashKey, Kbank and BPMG divide roles under the new agreement

HashKey plans to help traditional finance companies work with businesses offering digital assets. They’ll leverage their connections and expertise in this area, and also assist in creating business strategies that can be used throughout Asia.

HashKey already works with businesses in the Philippines, Vietnam, Indonesia, Malaysia, Thailand, and the United Arab Emirates, the company announced.

Kbank is evaluating if the planned systems comply with South Korean financial regulations and can integrate into the country’s banking framework. BPMG, through its ARACORE branch in the U.S., will offer technical assistance and create a payment system using stablecoins for settling transactions. According to reports in South Korea, the companies are also exploring ways to make sending money easier between South Korea and Hong Kong.

BPMG CEO Cha Ji-hoon stated that this partnership is a key step forward in growing the company’s global stablecoin financial network.

Kbank builds on earlier cross-border blockchain payment tests

This partnership builds on Kbank’s previous exploration of blockchain technology for sending money internationally. As crypto.news detailed in April, the bank initially worked with Ripple to test the feasibility of cross-border transfers using a phased approach. The project began by testing remittances through digital wallets and then expanded to simulate real-world transactions between the UAE and Thailand.

HashKey recently announced that its digital asset network will join forces with Kbank and BPMG, building on their earlier successful test of using a Korean Won stablecoin for international payments between Thailand and the UAE.

Kbank has around 16 million customers, and HashKey is a digital asset company working in multiple countries. They’re looking into offering new payment and settlement services, but haven’t yet shared details about how much activity they expect, when testing will begin, or exactly how the system will work.

This collaboration builds on Kbank’s existing involvement with stablecoin initiatives. KT, a South Korean telecom company, is already working with Kbank and BC Card to develop a comprehensive stablecoin platform for issuing, safeguarding, settling, and processing payments. While this KT project is distinct from the new partnership with HashKey and BPMG, it demonstrates that Kbank is actively participating in multiple digital asset payment projects.

South Korea moves toward rules for won-backed stablecoins

South Korea is developing new laws for cryptocurrencies and stablecoins. Their plan, called the Digital Asset Basic Act, will create legal guidelines for issuing and using stablecoins that are backed by the Korean won. The roadmap also includes rules for international stablecoin transfers, testing a digital version of the country’s currency (central bank digital currency), and exploring tokenized government bonds.

The rules for stablecoins are still being worked out in South Korea. The central bank supports a system where traditional banks issue them, but officials are still deciding which companies should be allowed to do so. This ongoing discussion is slowing down the progress of broader laws for digital assets.

South Korea is now more closely monitoring cryptocurrency moving in and out of the country. New regulations require companies that handle these international transactions to register with the government, bringing them under existing financial oversight.

HashKey is continuing to build connections between the world of digital assets and traditional finance through a new partnership agreement. Just last month, HashKey Exchange teamed up with Shanghai Commercial Bank and Visa to launch a credit card in Hong Kong. Cardholders earn rewards that can be exchanged for vouchers redeemable for cryptocurrency purchases or reduced trading fees.

This new partnership is shifting its focus from customer benefits to the underlying systems that handle payments and settlements. Specifically, HashKey, Kbank, and BPMG will collaborate on the technical aspects, necessary regulatory approvals, and possible applications of KRW stablecoins for international transactions.

As a researcher following this development, I’ve noticed the companies haven’t shared key details yet. We still don’t know when they plan to start their initial testing phase, which other countries might participate beyond those already mentioned, or if everyday consumers like us will eventually be able to use the service.

2026-07-21 07:14