One of the biggest banks in South Korea, Korea Alternative Financial Institution (KEB) Hana Financial Institution and the leading cryptocurrency custody provider BitGo Belief Firm have partnered to enable KEB Hana Financial Institution to provide digital asset custody services. According to the local news source Yonhap, KEB Hana Bank, and BitGo have come to a strategic business agreement to work together to promote digital asset custody in South Korea.
The statement was purportedly made on September 5 by officials of the financial institution during the “Korea Blockchain Week” conference for the cryptocurrency industry.
The commercial bank operates 111 locations and has around $10 billion in local banking assets and equity.
Collaboration between BitGo and the Hana Financial Institution
Hana Financial Institution’s data on commercial enterprises and BitGo‘s compliance with its cryptocurrency custodial choices will be combined by Korea Alternative Financial Institution (KEB), Hana Financial Institution, and BitGo to form a three-way cooperation.
According to the CEO of BitGo Mike Belshe, the company would think about enhancing the security and openness of the South Korean digital asset market. On the other hand, a Hana Financial Bank official reportedly said:
We hope to increase trust in the domestic digital asset market and customer safety by selling the digital asset custody business to international partners.
The interest in tokenized deposits among the Hana Financial Institution
Hana Financial Institution has demonstrated interest in tokenized deposit technology as a substitute for private stablecoins and central bank digital currencies.
The bank, along with local private banks like Woori Bank and Maeli Business Information Korea, published a study in July 2023 outlining the so-called “certificates of deposit” tokens that may eventually replace conventional notes and deposits without upsetting the established banking system.
