KEB Hana Bank, one of the biggest commercial banks in South Korea, reached an agreement with the state-backed highway operator, the Korea Expressway Corporation, to install blockchain-based toll payments systems across the nation’s highways. According to the D Daily report, the project is expected to launch before the end of the year. The blockchain-based payment systems will connect KEB Hana’s smartphone banking app, Hana One Q, for motorists to arrange their toll payments, defer them, or even receive toll fee refunds.
The blockchain solution aims to remove cash-based or credit card payments.
According to the report, KEB Hana Bank and Korea Expressway Corporation in partnership will implement the blockchain solution with the aim to remove cash-based or credit card payments, in part due to the ongoing global pandemic that encourages them to offer contactless solutions. The expressway corporation and the South Korean bank want to use blockchain to share data to strengthen synergies along with the payment system project.
Kwang-Ho Lee, head of the sales division at Korea Expressway Corporation, said that they would continue to expand customized contactless services to the public by applying blockchain technology. He added this is a part of the Korean version of the digital new deal policy to lead the global economy post-pandemic.
Governments across countries acknowledge blockchain tech amid pandemic.
As reported earlier, the South Korean government is encouraging blockchain technology and conducting several proof-of-concept projects to find a way to connect blockchain to the current system. Governments and private sectors across the world are taking a serious look at the various use of blockchain technology amid the ongoing global pandemic. The digital ledger tech is currently being utilized in many sectors across countries, including healthcare and logistics. South Korea had earlier revealed how they plan to use blockchain tech in the healthcare system.