TLDR
- Chainlink has partnered with LG CNS, the IT and AI services arm of South Korea’s LG Group.
- The deal focuses on expanding the use and distribution of Korean won stablecoins.
- LG CNS will add Chainlink’s cross-chain, data, and orchestration tools to its digital asset platform.
- South Korea’s crypto market is valued at $68 billion, with more than 11 million eligible stablecoin users.
- No financial terms, customers, or launch timeline were shared.
Chainlink has formed a strategic partnership with LG CNS, the IT service and AI transformation arm of South Korean conglomerate LG Group. The deal was announced on October 22.
The two companies said they will work to expand the use and distribution of Korean won stablecoins. They also plan to build infrastructure for South Korea’s $68 billion crypto market.
According to the announcement, the Korean stablecoin market has more than 11 million eligible users. Stablecoins are digital tokens designed to hold a steady value, often tied to a national currency.
What the Partnership Includes
LG CNS will integrate Chainlink’s cross-chain, data, and orchestration infrastructure into its Digital Asset Platform Solution. This platform is aimed at Korean financial institutions looking for regulated blockchain tools.
Chainlink is a decentralized oracle network. It connects smart contracts on blockchains with real-world data and outside systems.
Its technology lets separate blockchain networks communicate and coordinates transactions across platforms. The companies plan to use these tools to help move tokenized money between systems that would otherwise not work together.
The two firms will also cooperate on technical standards. They said they will combine their expertise to help advance the country’s digital asset framework.
“Korea’s financial infrastructure is entering the tokenization era,” said Hongkeun Kim, executive vice president and head of LG CNS’s Digital Business Division. He said the partnership aims to grow Korea’s tokenized securities market and create a foundation for global expansion.
LG CNS and South Korea’s Stablecoin Rules
LG CNS is the lead contractor for Project Hangang, the Bank of Korea’s digital currency initiative. The company handles development, operations, and infrastructure for the program.
The first phase of Project Hangang involved about 80,000 customers across seven Korean banks. This gave LG CNS hands-on experience with digital payment systems.
LG Group holds about 186 trillion won ($140.5 billion) in assets across 63 affiliates. Its subsidiaries have a combined market value of more than $100 billion.
South Korea does not yet have a clear legal basis for issuing and trading stablecoins tied to the won. Lawmakers and the government are working on the Digital Asset Basic Act, which would set rules for won stablecoins and other digital assets.
South Korea is Asia’s second-largest crypto market. The Korean won ranks behind only the U.S. dollar in global crypto trading volume.
Chainlink already works with major financial firms, including Swift, Euroclear, Mastercard, and UBS. These ties give it an established presence among large financial organizations.
However, the announcement did not include financial terms, named customers, or a date for commercial launch. It also did not confirm that Chainlink’s technology will be used directly in Project Hangang.
