Four of South Korea’s Biggest Banks to Provide Data for DeFi Platform

Adoption Banking Blockchain DeFi Financial Services

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Tim Alper

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Tim Alper

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Tim Alper is a British journalist and features writer who has worked at Cryptonews.com since 2018. He has written for media outlets such as the BBC, the Guardian, and Chosun Ilbo. He has also worked...

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June 26, 2023 06:56 EDT

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Four major South Korean banks said they will contribute to a blockchain-powered decentralized finance (DeFi) solution for foreign currency exchange rates.

Per D Daily, Shinhan Bank, IBK Bank, KEB Hana Bank and Nonghyup (NH Bank) will take part in a joint project involving Oracle’s Chainlink (LINK) collaboration as well as domestic fintech platform Center Prime.

The four banks will feed real-time United States dollar-South Korean won exchange rate data into Chainlink nodes. This data will then be accessible for DeFi service providers operating on the network – allowing DeFi providers to access decentralized exchange rate data when creating smart contracts on blockchain platforms.

Center Prime is operated by the Seoul-based fintech firm A-Fun.

The move, said the media outlet, will likely bring more Korean users to DeFi – and that service providers will be buoyed by the fact that their exchange rates are provided by large commercial banks.

Oracle embarked on its Chainlink collaboration last year, and in October announced that it had selected an initial 20 startups to develop new solutions for both the Oracle blockchain platform and Chainlink’s own decentralized oracle network.

All four banks have expressed an active interest in blockchain technology, but this represents their first meaningful ventures into the world of DeFi.

Most recently, NH Bank stated that it intends to launch crypto custody services for institutional investors.
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