Partners to review financial API integration and regulatory compliance; PoC and pilot project planned

Aracore CEO Cha Ji-hoon (left) and The Dozen CEO Jo Cheol-han pose for a photo after signing the MOU. [BPMG]
Aracore CEO Cha Ji-hoon (left) and The Dozen CEO Jo Cheol-han pose for a photo after signing the MOU. [BPMG]

Aracore, the US subsidiary of blockchain and AI company BPMG, said Friday it signed an MOU with domestic fintech firm The Dozen to jointly develop a stablecoin-based cross-border payment and settlement service.

The two companies plan to explore ways to connect The Dozen's financial infrastructure — which supports transactions between domestic banks and businesses — with Aracore's global settlement network. Their goal is to develop a business model that links won-denominated domestic transactions to overseas stablecoin settlement, enabling uses such as corporate payments and international remittances.

The Dozen provides digital banking solutions, including firm banking and virtual accounts, built on a financial value-added network business. The company also operates foreign exchange and settlement services and listed on Kosdaq last year.

Aracore is building an inter-institutional settlement network (ISN) that connects global financial institutions with stablecoin issuers and payment operators. The company aims to improve the efficiency of cross-border fund transfers and settlement processes by bridging separately siloed financial infrastructures across countries.

Under the agreement, the two companies will work out how to integrate their financial APIs and settlement systems. They will also review regulatory compliance requirements, including know-your-customer, anti-money laundering and transaction monitoring. The partners plan to validate the feasibility of a live service through a proof-of-concept and a pilot project.

Meanwhile, Aracore is also working with K bank and Hong Kong's Hashkey Group to develop a stablecoin-based international remittance service. The company participates in the Global Dollar Network led by US stablecoin issuer Paxos and is expanding its partnerships to include stablecoin-focused blockchain Stable, among others.

Aracore has also signed an MOU with Malaysian blockchain infrastructure firm Teyza to jointly develop stablecoin-based payment and settlement models.


kyoung@heraldcorp.com