POSCO International's Songdo headquarters building. [POSCO International]
POSCO International's Songdo headquarters building. [POSCO International]

POSCO International said Monday it completed a proof of concept with LG CNS on Thursday to apply blockchain and AI technology to a live global trade environment, building out trade finance infrastructure.

POSCO International pursued the PoC to more efficiently manage the growing volume of transactions and settlements with its overseas subsidiaries as its global business expands, and to accelerate the digital transformation of its trade operations. POSCO International provided the testing environment based on its global trade network and real transaction data, while LG CNS handled system architecture design and blockchain and AI technology verification.

The two companies first implemented a structure that shares transaction information in real time among the headquarters, overseas subsidiaries and trading partners through a blockchain-based shared ledger. Under the previous setup, transaction data was managed separately by country and entity, requiring repeated verification at each stage of contracting and settlement. The shared ledger structure allows all parties to check the same transaction status in real time, reducing operational risk from data discrepancies and improving the efficiency of contracting and settlement.

In the area of accounts-receivable real-world asset tokenization, the PoC verified a structure capable of issuing, transferring, settling, trading and managing receivables from actual trade transactions as digital assets. The verification used Injective, a blockchain network designed specifically for corporate finance environments.

Building on Injective's architecture — which allows compliance, privacy and regulatory controls to be embedded at the protocol layer — the companies also verified the control functions required for corporate finance. Specifically, they confirmed the feasibility of applying permission-based asset management, know-your-customer and anti-money-laundering checks, investor eligibility screening, and asset transfer restrictions, and examined whether blockchain technology could be used across the full range of inter-company accounts-receivable transactions.

The companies also tested whether AI agents that automatically read documents and flag errors could be applied to the letter-of-credit and trade document review process, with the aim of reducing quality inconsistencies and human error arising from differences in staff experience.

"This PoC is significant in that it verified the applicability of AI and blockchain technology based on actual trade data and processes," a POSCO International official said. "We plan to finalize a pilot operation plan in the second half of this year, focusing on areas where operational efficiency gains have been confirmed."


keg@heraldcorp.com