Kbank, Ripple to Test Blockchain Remittances to UAE, Thailand

Kbank and Ripple signed a strategic partnership at Kbank’s Seoul headquarters to test blockchain-based overseas remittances. Kbank CEO Choi Woo-hyung and Fiona Murray, Ripple’s Asia-Pacific managing director, signed the agreement. The trial program will use Ripple’s global network and ledger technology to process transfers to the United Arab Emirates and Thailand.

The work is organized as a phased technical verification. The first phase tested a separate app-based remittance structure. The second phase links customer accounts and internal systems to test transfer stability and includes on-chain transactions to the UAE and Thailand.

During the trials, Kbank will connect its systems to foreign payment rails using Ripple’s payment network and underlying ledger. The tests will measure end-to-end transaction speed, cost efficiency and operational reliability when routing cross-border payments through blockchain channels rather than through correspondent banking paths.

Both firms described the project as a technical verification rather than a commercial rollout. They plan to continue phased testing while monitoring developments in South Korea’s regulatory framework for stablecoins and digital assets.

The regulatory context includes a draft bill prepared on April 8 that would classify stablecoins as foreign exchange payment instruments and require tokenized real-world assets to be backed by assets held in trust. An integrated draft of a proposed Digital Asset Basic Act would treat stablecoins used in cross-border transactions as a means of payment under the country’s Foreign Exchange Transactions Act.

Other recent industry activity in South Korea includes a March 16 cooperation agreement between Hana Financial Group and Standard Chartered on foreign exchange and digital asset areas, Hana’s earlier partnerships with a US stablecoin issuer and a large crypto exchange to promote stablecoin-based payments for foreign visitors, and a March 5 plan by a payments company to launch a digital asset payments service for foreign visitors in partnership with a global crypto payments provider.

The tests will examine how blockchain transfers integrate with existing banking systems and cross-border settlement processes. Trial metrics will likely include transaction times, fees, reconciliation flows and compliance checks to assess whether on-chain transfers can meet banks’ operational and regulatory requirements.