Hyundai Card Completes Stablecoin-Based Intercompany Settlement on Avalanche

Ava Labs has partnered with Hyundai Motor Group to develop a stablecoin remittance layer on Avalanche, a blockchain platform.

The partnership came to fruition when Hyundai Card, a financial arm of Hyundai Motor Group, successfully completed a real stablecoin-based intercompany settlement on the Avalanche blockchain. The transaction involved $20,000 in USDT (Tether's USD-pegged stablecoin) being moved between Hyundai Motor subsidiaries in the US and Mexico within an average time of seven minutes.

This achievement is significant as it outperforms traditional cross-border wire transfers that can take anywhere from one to five business days. The process also involves multiple intermediary banks, resulting in fees at every hop.

The trial was completed on July 9 and brought together four key players: Hyundai Card, Tether, blockchain infrastructure firm Axiym, and Ava Labs. Axiym acted as the bridge connecting traditional payment rails to blockchain-based settlement.