Hedera joins hands with Shinhan Bank to reorganize finance

• Hedera has partnered with South Korea’s Shinhan Bank for financial innovation.
• HBAR Foundation is further consolidating its presence in the Asian market.

Hedera Hashgraph (HBAR) has grown into a notable force in the financial industry. In a recent development, the HBAR Foundation presentation Shinhan Bank launched the Korean Won (KRW) as a real world asset (RWA) on the Hedera network.

Shinhan Bank completes pilot phase

As previously reported by Crypto News Flash, this pilot phase is a continuation of the proof of concept (PoC) that began when Shinhan Bank partnered with Standard Bank, Africa’s largest bank, for stablecoin international remittances in 2021.

The PoC is compatible with the Ethereum Virtual Machine (EVM). This means that any EVM-based stablecoin issuer can use the framework. Issuers will enjoy unparalleled stablecoin flexibility and performance through the high scalability of Hedera Token Service at 10,000 TPS and the enhanced programmability of EVM.

Shinhan Bank, the oldest bank in Korea, developed the Korean Won (KRW) using Stablecoin Studio. #RWA to @girl name Network 🇰🇷

This pilot was a continuation of previous PoCs with Hedera Governing Council members and Africa’s largest banks. @SB Group 🧵 pic.twitter.com/gY3muq8W9A

— HBAR Foundation (@HBAR_foundation) May 2, 2024

In a test environment consistent with current production capabilities, the pilot achieved real-time settlement and real-time foreign exchange (FX) exchange rate integration for the Korean Won, Thai Baht (THB), and New Taiwan Dollar (NTD). During this pilot period, Shinhan Bank collaborated with several companies, including SCB TechX, a subsidiary specializing in digital technology of SCBX Group.

Shinhan Bank’s launch of KWR on the Hedera network is aimed at solving the obstacles that currently exist in sending and receiving international money transfers. Existing problems with legacy systems include slow processing times, lack of system standardization, limited operating hours, expensive transaction fees, and complexity of the system.

Hedera’s technology therefore gives Shinhan Bank a competitive advantage by providing financial institutions with a highly secure, scalable, and easy-to-manage infrastructure.

Shinhan Bank is the oldest bank in Korea with assets exceeding 664.4 trillion won. The company provides a broad range of financial services to individual consumers, small and medium-sized businesses, and large organizations. Echoing Crypto News Flash’s previous findings, the bank made history as the first bank in South Korea to offer real-name cash-to-crypto transaction accounts for institutions.

Hedera’s focus on the Asian market

Asia has become a key focus area for the HBAR Foundation. The symbiotic relationship between businesses and consumers in Asia may be the reason for cross-disciplinary Web3 adoption, with non-fungible tokens (NFTs) and gaming gaining prominence. In addition, institutional interest and participation are evident.

Shinhan Bank is one of many financial institutions exploring RWA solutions on Hedera Asia. Hedera Network has partnerships with Nomura Bank and DBS Bank.

Meanwhile, Hedera’s native digital asset, HBAR, has seen its price soar and plummet due to misunderstandings involving BlackRock, as highlighted in a recent Crypto News Flash YouTube video.

The excitement began when blockchain startups Archax and Ownera tokenized shares of BlackRock’s ICS US Treasury Money Market Fund on the Hedera platform. However, BlackRock quickly refuted that it had no direct role in the tokenization process, causing the price of HBAR to drop by 25%.

HBAR has increased in the last 24 hours. 5% deal with $0.1096. The market stands at $3.9 billion and trading volume is pegged at $246 million.

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