Korea’s Shinhan Bank Inks MoU With FinTech Firms For Blockchain-Based Security System

Shinhan Bank, South Korea’s oldest, has collaborated with two more firms to build a blockchain-powered security system. The Korea Times has reported that Shinhan Bank has inked a memorandum of understanding (MoU) with Ground X, a fintech startup firm, and Hexlant, a blockchain development firm, to build a security system based on blockchain technology.

Under the agreement, the bank’s technology partners will work together to create a Private Key Management System for the facilities offered by the bank. Ground X is the blockchain division of South Korean messaging firm Kakao and is anticipated to offer a blockchain powered platform. Hexlant builds the framework that will incorporate an anti-hacking protection for the platform.

The initial trials of the intended systems are anticipated to happen in October. Regarding the development, Shinhan Bank official stated as follows:

“Blockchain technology has gained attention from the financial sector for its advantages, but financial firms have experienced difficulties in applying the technology to their system. […] Shinhan Bank will provide a convenient user-friendly interface under the deal with Ground X and Haxlant.”

Shinhan Bank is also building a distributed ledger technology-powered stock lending platform after inking an agreement with financial services firm Directional.