The Bank of Korea announced on Tuesday that it is broadening its cooperation with the Bank of England on tokenization initiatives.
According to the Bank of Korea, Sarah Breeden, the Bank of England's Deputy Governor for Financial Stability, visited the Bank of Korea on Monday and exchanged views with its officials on innovations in the areas of payments and settlements.
Breeden and other Bank of England officials shared the latest developments on tokenization projects with their counterparts at the Bank of Korea, including the global initiative "Project Agora" and South Korea's "Project Hangang."
The Bank of Korea stated that it will actively share its experience with tokenization projects and participate in global discussions on the topic.
Payment tokenization is a security mechanism that replaces sensitive payment data with a randomly generated unique sequence of characters known as a "token."
Led by the Bank for International Settlements (BIS), "Project Agora" aims to explore how tokenized commercial bank deposits and tokenized wholesale central bank money can improve the global financial system, particularly in the area of cross-border payments.
"Project Hangang" is a blockchain-based tokenization pilot project led by the Bank of Korea, designed to test digital currencies and wholesale central bank digital currencies.
Comments