South Korean communications company, LINE Corporation, has announced Line Financial, a blockchain development platform. The platform’s ultimate objective is to allow the best utilization of a central bank digital money (CBDC) not just in South Korea but the entirety of Asia.
LINE Plus, a subsidiary of SoftBank, has created a platform for central bank digital currency (CBDC) in South Korea. Because the website is now in Korean, it is safe to assume that Korea is its initial objective. According to reports, the Bank of Korea discussed digital currency custody with the Klaytn public permissioned blockchain and Hyundai HDAC.
LINE CBDC
LINE anticipates that the platform will be able to manage high transaction volumes, ensuring the completion of the payment necessary to confirm the CBDC business’s activities. It will also keep payment information private, and put safeguards in place to guarantee that assets conform with various financial rules.
LINE’s technology is open source, allowing anyone to create their version of the system that supports Know Your Customer (KYC) and Anti-Money Laundering (AML). The layered structure and modular design make it simple to create a system by integrating various modules. It is extremely adjustable and will be modified on a case-by-case basis to fit the needs of each central bank.
LINE and NuriFlex have agreed to join in the development of a CBDC platform across Latin America and Africa. If this is successful, it will be a significant step forward for LINE, which has not been reluctant about experimenting with blockchain technology. The business also said that it was discussing the platform with central banks in other Asian nations to match solutions to each central bank’s demands.
LINE x NuriFlex
NuriFlex Group is a company that specializes in the design and implementation of a blockchain-based platform that will provide digital payment and other services to various industry sectors. The business is now a key technical partner in Cameroon’s national health coverage system, known as the UHC Project.
It is in various conversations with other African partners about launching other blockchain-based services. Nuriflex Group has spent the last 20 years developing software platforms capable of handling enormous amounts of data.
Line Plus provides digital payment services in major economies such as Japan and Taiwan, thus possessing high-security blockchain technology capable of processing massive volumes of transactions. According to a business release, technology is part of the essential infrastructure for CBDC activities.
With the combination of their experiences, NuriFlex and LINE Plus will both be fulfilling their respective objectives while covering what the other lacks.
Reception
South Korea’s regulator, the Financial Services Commission, is now undergoing a large-scale regulatory monitoring procedure to ensure the prevention of money laundering for the safety of investors, not shying away from extensive measures for the objective. LINE looks to be heavily focused on CBDC use, to the regulators’ satisfaction as most countries are interested in creating and implementing a CBDC, as opposed to getting involved in the crypto market.
If LINE’s blockchain platform receives central bank clearance and authority, it may be treated more favorably as a result of its concentration on these assets.
Closing Notes
As of now, not much information has been released to the international community regarding LINE Corporation’s blockchain technology and if they will stick to only CBDC in the future or if they will release their cryptocurrency as they announced last year. It is best to wait for further information about the development of the CBDC before making any conclusions or decisions regarding it.
Those interested in the LINE Corporation’s blockchain and CBDC are advised to first verify if it’s the legitimate product and service before providing any information about yourself, as there are still predators lurking in the crypto space. Be careful of the websites and forms you are filling out with your data.