One of the most established and most significant banks in South Korea, Shinhan has collaborated with two fintech firms to initiate a new security framework utilizing blockchain technology. Recently, Shinhan Bank inked an MOU (Memorandum of Understanding) with fintech firm Ground X and blockchain developer Hexlant to develop blockchain security technology.
This new partnership will adequately observe that these three organizations work together to create and discharge a private key management solution for Shinhan to use. GroundX will provide blockchain platform, and ultimately, Hexlant will give the framework which will incorporate the formation of an “Anti-cracking program”‘ as indicated by reports. The reason which makes the entire joint effort significantly more energizing is the prospect of testing, which may start in October this year.
Moreover, GroundX has launched its very own blockchain for use over Kakao’s services in June called Klaytn, where the network is professed to be multiple times quicker than Ethereum and has its very own digital currency called “Klay.” Around 20 organizations are added into Klaytn’s system as of June this year.
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Shinhan launched a blockchain platform in May to confirm things of proof needed for credit lending, like certification or qualification of records, looking for speed and cost developments. In July, Shinhan Bank presented a blockchain-powered credit application program, through which people will submit related official papers without in-person visits to the bank offices.
A Shinhan Bank official stated,
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.
The Bank’s credit card division, Shinhan Card, additionally got a related patent for a blockchain-based credit transaction procedure to serve its clients better using a more transparent and secured framework.
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Moreover, In South Korea, Shinhan Bank has gained an excellent reputation as one of the most established and most prominent financial organizations. Shinhan, having almost 375 billion dollars in total assets and additionally led a funding round in Gopax, a local cryptocurrency exchange last year. The Bank is also building up a distributed ledger technology powered stock loaning platform after signing the agreement with Directional, the financial services company.
