secondary title

Digital asset tokenization, South Korea’s CBDC will also show its outline next year

Minister Jang Hyun-ki said on the same day, “We believe that it is necessary to convert people’s rights to assets into tokens that can be traded on the blockchain platform. The types of digital assets can be roughly divided into virtual currencies (cryptocurrency, regional currency), benefiting from rights (real estate financial products), DID (decentralized identity authentication) and other different types.” Starting from this point of view, Shinhan Bank has been researching blockchain since 2017, and is committed to using blockchain technology to develop new service products and achieve commercialization goals. Minister Zhang Ben said, "Several services have entered the trial phase, and we hope they will be commercially available next year."

CBDC (central bank digital currency) and DeFi (decentralized finance) are also topics that the banking circle needs to pay attention to. He said that CBDC is "the beginning of a new economic model." "It is expected that the central bank will issue CBDC through commercial banks and then enter personal accounts, rather than directly issued by the central bank to individuals." "Shinhan Bank is also starting from this perspective. , consider launching related services”. He predicted that the central bank’s ongoing CBDC research is expected to take shape next year.

secondary title

"Blockchain technology has been applied to DID applications, doctor loans, and small business policy financial services"

Shinhan Bank is trying to apply blockchain technology to various fields. The more feasible areas include blockchain qualification verification, policy fund loan platforms, domestic DID alliances, etc. He said that the three major DID associations in Korea "MyID, INITIAL, and KoreaDID" have all joined the DID alliance.

Shinhan Bank has launched related specific services. In the field of DID, Shinhan Bank cooperated with MyID's "Certificate" application to launch personal identity authentication and contactless quick real-name verification services in August this year, which can greatly simplify the user's identity verification procedures.

In terms of blockchain qualification verification services, Shinhan Bank has applied blockchain technology to the qualification verification procedures of loan and credit cooperative institutions since May 2019. Specific applications include the "Doctor Loan" loan service for doctors. He said that this service "shortened the loan issuance time from 2-3 days to real-time issuance, and overcame the traditional personal information security issues." , Agreed Agencies and Banks' needs".

secondary title

"There is no perfect C2C, look for a fit between C2C"

Finally, Minister Jang Ben introduced Shinhan Bank's blockchain research blueprint. He said, "The future transactions will be dominated by C2C, but we believe that a perfect C2C does not exist, and banks are looking for a fit under this trend. In this case, the blockchain will promote the role of the public platform. Expansion, various networks with different business purposes have emerged one after another, which is also a great opportunity for the banking industry." "In the future, we will accelerate the launch of commercial services by expanding the scale of partners and platforms."

The seminar that day was held at the National Federation of Economic Man in Yeouido, Seoul, and was co-hosted by the Office of Representative Kim Byung-wook and the Korea Virtual Asset Finance Association.

JOIND Reporter Park Sang-geol park.sanghyuk@joongang.co.kr