Comprehensive payment company NHN KCP (CEO Park Jun-seok) is joining forces with Ava Labs, Inc., the developer of the global blockchain platform Avalanche, to build a blockchain-based mainnet specialized for payments.

NHN KCP announced on the 14th that it had signed a memorandum of understanding (MOU) with Ava Labs at its headquarters in Guro-gu, Seoul, for the “establishment of blockchain-based payment infrastructure and a stablecoin payment system.”

Avalanche is an open-source blockchain platform that enables the construction of independent blockchain networks based on high speed and scalability. This agreement was prepared to complement the limitations of existing payment infrastructure and to build a payment architecture optimized for the global market. The two companies will jointly develop a payment-specialized NHN KCP mainnet based on Ava Labs’ Ava Cloud technology. NHN KCP plans to take the lead in system architecture design leveraging its payment expertise and to work closely with Ava Labs to ensure seamless integration with existing payment systems.

The companies plan to jointly develop a payment-specialized mainnet that combines ultra-fast payment approval with on-chain encryption technology, and to build a payment ecosystem that provides this as merchant-customized infrastructure.

The technological core of the cooperation will be pursued along three axes: provision of ultra-fast approval enabling payments to be completed within one second; enhancement of security through on-chain encryption of sensitive transaction data such as payment and merchant settlement amounts; and creation of an environment capable of supplying independent dedicated mainnets and digital wallets for each merchant.

In addition, the two companies will jointly explore new business opportunities in the fields of digital commerce and global payments, including a tokenized deposits model, a multi-stablecoin settlement structure, and cross-border payments (global B2B overseas payments and settlements). Their strategy is to proceed through a proof-of-concept (PoC) stage to verify technological feasibility, and subsequently promote linkage with global finance and payment partner networks.

NHN KCP CEO Park Jun-seok stated, “This cooperation is meaningful in that it brings together NHN KCP, which has top-tier payment operation expertise in Korea, and global blockchain technology to derive an innovative model that can be immediately applied to real-world business,” adding, “Based on rigorous technological verification, we will continue to discover and materialize business models that can transform the paradigm of the future payments market.”

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