South Korea's Hana Financial, POSCO, and Upbit Operator Sign Deal to Replace SWIFT With Blockchain

[nihalsari]

Three of South Korea's most prominent institutions have signed a trilateral memorandum of understanding to launch a blockchain-based remittance system that directly challenges the traditional SWIFT cross-border payment framework. Hana Financial Group, POSCO International, and Dunamu, the operator of crypto exchange Upbit, signed the agreement at Hana Financial Group's Seoul headquarters on Tuesday. The deal follows a successful proof-of-concept completed earlier this year by Hana and Dunamu, which demonstrated that blockchain could reduce both settlement times and costs compared to SWIFT. That pilot used Dunamu's proprietary GIWA Chain to replace SWIFT's messaging network for cross-border transfers, and the new MoU moves from testing into real-world deployment for the first time with POSCO International's trading arm handling actual fund flows.The technical difference between the blockchain system and traditional SWIFT infrastructure is fundamental. Under the SWIFT framework, sending a payment instruction and actually moving the money are two separate steps that slow down the process and add intermediary costs.

The GIWA Chain system combines both into a single real-time process, eliminating the gap between instruction and settlement. Under the trilateral agreement, POSCO International handles business application and real transaction flows, Hana Financial manages remittance processing, fund settlement, and foreign exchange, and Dunamu provides and maintains the blockchain infrastructure. The three companies plan to establish a working model for real-time blockchain remittances before the end of 2026.

[lingriiddd]

South Korea just got a bank, a steel conglomerate, and a crypto exchange in the same room to replace SWIFT and somehow this is not the top story everywhere.