Toss, Optimism Partner on Korean Won Stablecoin Pilot

Toss, the operator of South Korea's popular mobile money transfer app, has partnered with blockchain company Optimism to test a Korean won-based stablecoin infrastructure for institutional payments.

The three-month proof-of-concept (PoC) will explore whether financial institutions can control the settlement process and implement know-your-customer (KYC) and anti-money laundering (AML) verification requirements on a public blockchain ledger.

Toss plans to use this PoC as the foundation for building compliant stablecoin-based payment infrastructure in South Korea, according to Yonhap News. Optimism will provide the blockchain infrastructure, while Sunnyside Labs will provide the privacy-preserving technology to shield transfers.