Leading South Korean business lender KB Kookmin Bank has entered to a Memorandum of Understanding with Atomics Lab, a blockchain technology company, to study digital asset handling and security alternatives.
KB Kookmin Bank is among South Korea’s four biggest bank’s on the basis of their asset-value.
The MoU — inked in Seoul yesterday, June 10 — maintains that the two parties will concentrate on the development of the digital asset market and fresh enterprises related to crypto.
As per the study, Atomrigs Lab is a blockchain expert with knowledge in finance, blockchain architecture and math, focusing on the development of blockchain-powered crypto protection systems utilizing future generation cryptography.
As per the deal, the businesses will work together to explore the technology of crypto currency safety and the process of smart contract implementation. They also chose to vigorously study fresh business opportunities in the digital asset sector.
Furthermore, the businesses will unite efforts to establish digital asset handling facilities that integrate the technology of Atomics Lab with the internal control infrastructure of KB Kookmin Bank and data security systems. They also plan to work together to create a correlation environment between the network of blockchain and finance.
As Business Korea states, KB Kookmin used the abbreviation “ABCDE” —which stands for artificial intelligence, blockchain, cloud, data and ecosystem to ascertain its key technical objective. As of 2018, the bank has allegedly established digital transition as the major goal.
Commenting on the partnership, KB Kookmin Bank’s executive said “We hope that the two companies will grow together by discovering innovative services in the field of digital asset management with this agreement. We will expand the digital ecosystem through cooperation.”
Last year, KB Kookmin Bank was brought under the regulatory scrutiny of Korea’s Financial Supervisory Service (FSS). The regulator, in a joint assessment of Kookmin and another local institution Nonghyup bank, condemned the manner in which both banks handle cryptocurrency transactions in accordance with anti-money laundering regulations.
Specifically, the successive order of FSS for improvement was applicable only to to accounts that had been vetted with a true-name verification facility.
The bank was earlier subject to scrutiny by Korea’s Financial Services Commission as portion of a series of tough compliance audits on local banks offering their services to crypto exchanges.
Earlier this year, KB Kookmin Bank was picked for the financial regulatory sandbox unveiled by the Financial Services Commission (FSC). The bank will test a “convenient, low-cost financial services combined with mobile communication services.”
