- The Hedera native coin HBAR gained nearly 3 percent in the last 24 hours to trade around $0.0549 on Wednesday.
- The PoC pilot program is open to stablecoins issuers from Ethereum through EVM technology.
The mainstream use of crypto assets and stablecoins has significantly Revolution Ed the banking industry in the past few years. More banks around the world are exploring ways to secure their future growth prospects through the decentralized financial sectors and integrating distributed ledger technology (DLT) in their daily operations. Moreover, the banks have the liquidity and mainstream connections needed in the cryptocurrency market to ensure mass adoption.
Hedera Network Successfully Pilot Stablecoin Remittances
In the latest developments of the traditional banking sector adopting blockchain technology, Shinhan Bank, a leading modern bank in South Korea, and SCB TechX, a digital technology-focused subsidiary of the SCBX Group in Taiwan, announced the successful completion of a stablecoin remittance proof-of-concept (PoC) pilot through the Hedera open-source network on July 18.
Interestingly, the PoC pilot program achieved real-time settlement and FX rate integration across the Thai Baht (THB), New Taiwan dollar (NTD), and South Korean won (KRW) markets. According to the announcement by Hedera, the PoC pilot program is EVM-compatible, thus enabling Ethereum-based stablecoins to participate.
According to Byunghee Kim, Chief of the Blockchain division at Shinhan Bank, the strategic partnership with Hedera will significantly eliminate the hurdles in cross-border remittances. Moreover, the PoC pilot program is a continuation of Shinhan Bank’s test in collaboration with Standard Bank on stablecoin international remittances. Kim noted.
The successful completion of this second PoC marks an important step forward in our efforts to make cross-border payments faster, cheaper, and more accessible to people around the world.
Kim further highlighted that the use of stablecoins on the Hedera network to settle international payments is a modern solution to a decades-old problem. Moreover, stablecoins can offer users a fast, secure, and low-cost means of transferring money across international borders. As a result, more people around the world who were largely separated by the high cost of transferring money across borders can soon enjoy the services via the Hedera network. SCB TechX CEO, Trirat Suwanprateeb, noted.
Stablecoins offer a low-cost, fast, and reliable way to transfer value across borders, which can help to increase financial inclusion and improve access to financial services for individuals and businesses in underserved communities.
Why Hedera Network
The Hedera network has proved to be a resilient open-source public ledger that powers the Web3 ecosystem. Furthermore, Hedera’s total value locked (TVL) has grown steadily in the past year to about $26.84 million. Additionally, the Hedera network has a stablecoins market cap of about $3.68 million.
Notably, the Hedera network is secured by a global community organization working as a network of governors. The Hedera network of the council of industry-leading organizations including abrdn, Avery Dennison, Boeing, Chainlink Labs, COFRA Holding, DBS Bank, Dell Technologies, Dentons, Deutsche Telekom, and DLA Piper, among many others.
As a result, the $2.7 billion valued network is well poised for future growth prospects.
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