LG Uplus, a mobile carrier owned by South Korean conglomerate LG Corporation, is planning to enter the cross-border payment space, local news outlet The Korea Times has reported.
According to the report, which was published on Sunday, the mobile carrier has partnered with companies in Japan, Taiwan and the United States to offer subscribers a blockchain-based overseas payment service. LG Uplus have signed a memorandum of understanding (MOU) Thursday with Taiwan-based Far EasTone Telecommunications and Japan-based SoftBank for the new service, which will be powered by blockchain technology, provided by US-based company TBCASoft.
LG Uplus’ partners are among the founding member of a global blockchain consortium of telecom carriers called the Carrier Blockchain Study Group (CBSG). The group is aimed at facilitating the development of an innovative blockchain platform designed specifically for telecom carriers. Their efforts have resulted in the development of a cross-carrier blockchain platform called CCPS (cross-carrier payment system), which allows customers of one carrier to complete transactions on the payment networks of another carrier.
LG Uplus announced on Sunday that it planned to launch a trial version of the service next year. Via the service, Uplus customers will be able to buy goods at selected stores with their handsets when they travel in Japan or Taiwan.
"Customers will have the benefit of an overseas payment system based on convenient, economical and secure blockchain technology," Joo Young-joon, director of the mobile service unit at LG Uplus, said, as quoted by The Korea Times. “And in addition to the overseas payment solution, LG Uplus will continue to develop new business opportunities with CBSG blockchain and global telecom leaders.”
Meanwhile, Ling Wu, founder and CEO of TBCASoft, and co-chairman of the CBSG Consortium, said that the consortium was entering “a new stage of launching real world trials that demonstrate the commercial readiness of the TBCASoft blockchain platform”.