KB Kookmin Bank has been confirmed as a key participating institution in the 'Deposit Token-Based Payment Infrastructure Expansion Project,' leading innovative digital transformation that will breathe new vitality into Korea's livelihood economy.

KB Kookmin Bank officially announced today that it has been selected as a final participating institution in the 'Deposit Token-Based Payment Infrastructure Expansion Project,' one of the 'Blockchain Innovation Projects' being promoted by the Ministry of Science and ICT and the Korea Internet & Security Agency (KISA).

This project is led by the Korea Financial Telecommunications and Clearings Institute under close cooperation between the Ministry of Economy and Finance and the Bank of Korea, and held its launching ceremony successfully on the 22nd. Based on the institutional CBDC-based deposit token demonstration experience already verified through the Bank of Korea's 'Project Hangang,' the goal this time is to establish payment infrastructure directly applied to the daily lives of citizens.

KB Kookmin Bank will play a key role in supporting small business owners in this project. It plans to enable merchants to easily receive deposit token payments without the need for separate terminal replacement or complex system overhauls. This will minimize the initial adoption burden to promote rapid spread of deposit token payments and reduce payment fee burdens, thereby greatly contributing to improving the business environment for small business owners.

[Photo=Yonhapnews]

In particular, KB Kookmin Bank will focus its capabilities on shortening the merchant settlement period that previously took 1-3 days to 'immediate' levels. This is expected to become a groundbreaking turning point in securing liquidity for small business owners, and is anticipated to directly contribute to revitalizing the livelihood economy through undelayed cash flow.

In the technology development field, KB Kookmin Bank also leads innovation through cooperation with small and medium-sized enterprises and startups. It plans to jointly develop core technologies including deposit token wallet integration, advanced security solutions, and smart contract verification, thereby laying a solid foundation for a safer and more efficient digital financial ecosystem.

In addition, cooperation in the public sector will be strengthened. KB Kookmin Bank will diversify exploration of application possibilities in the public domain by linking deposit tokens to the Ministry of Economy and Finance's national treasury management system and pilot projects for government operational expenses, thereby maximizing the ripple effects of digital transformation.

The establishment of this deposit token payment infrastructure is expected to accelerate Korea's digital finance innovation and become a turning point in dramatically improving transaction efficiency and convenience for a wide range of economic players from small business owners to the government.