Crypto.com has entered a strategic partnership with KG Inicis, South Korea's largest payment gateway and value-added network provider. The collaboration aims to integrate Crypto.com Pay across KG Inicis's extensive merchant network, enabling foreign travelers to pay for goods and services in South Korea using digital assets.
The integration will allow international visitors to use crypto for payments at both physical stores and online platforms. Merchants will have the option to receive immediate settlement in either fiat currency or digital assets, benefiting from faster transactions and lower costs. Eric Anziani, President and COO of Crypto.com, highlighted the significance of the deal, stating, "KG Inicis boasts an unrivalled merchant acceptance network with 40% market share and we’re proud to partner with this fintech powerhouse to make digital asset payments easier for travellers to Korea."
A representative from KG Inicis emphasized the long-term vision, saying, "A payment infrastructure that bridges digital assets with the real economy will become a core competitiveness of the future finance and commerce industries. We plan to expand an infrastructure where digital assets can be utilised in actual economic activities, all while ensuring a solid legal and regulatory foundation."
KG Inicis processes over 400 million transactions annually and holds a 40% market share in South Korea, with a network of approximately 190,000 affiliated merchants. Beyond the initial payment integration, the two companies plan to explore joint marketing efforts and develop additional products, pending regulatory approvals.
This partnership is part of a broader trend of South Korean financial institutions expanding into digital assets. Recent examples include Hanwha Asset Management's partnership with the Jito Foundation for liquidity staking products and Hana Financial Group's memorandum of understanding with Standard Chartered for digital asset initiatives, potentially involving stablecoins.
These developments occur as South Korea works on comprehensive digital asset legislation, known as the "Digital Asset Basic Act," which aims to establish rules for crypto platforms, stablecoins, and exchange-traded funds. The move by Crypto.com follows its recent conditional approval for a US national bank charter and aligns with global trends, such as similar tourist crypto payment programs launched in Bhutan and Thailand.
