The government-led project aims to cut payment fee burdens for small business owners through a consortium of nine banks, eight payment gateway firms and two large demand-side participants.
Toss Payments, Toss’s payment gateway affiliate, has been selected as the preferred bidder for a deposit token-based payment infrastructure expansion project under the Ministry of Science and ICT and the Korea Internet & Security Agency’s blockchain innovation flagship project, Edaily reported. The pilot is designed to reduce payment fee burdens for small business owners, testing a payment model that uses deposit tokens, digital representations of commercial bank deposits recorded on a blockchain, in a broader public-private framework. The initiative will be overseen by the Korea Financial Telecommunications & Clearings Institute in cooperation with the Ministry of Economy and Finance and the Bank of Korea, and carried out by a private-sector consortium that includes nine banks, eight payment gateway firms and two large demand-side participants.