LG Will Rely On Blockchain To Process Cross-Border Payments

The mobile division of LG cooperation is set to partner firms in Taiwan, Japan, and the United States to launch its blockchain based overseas payment service. This was announced on the 16th of September.

LG Uplus Blockchain-based Overseas Payment Service

LG Uplus, a subsidiary of the fourth largest conglomerate in South Korea, LG corporation is set to launch a blockchain based overseas payment service with the help of some global partners.

As planned, the project will be launched next year by LG Uplus in partnership with Taiwan-based Far EasTone Telecommunications, Japan-based SoftBank and U.S.-based TBCASoft. These companies will come together to provide the proposed cutting-edge blockchain platform.

A trial of the overseas blockchain based payment service is based on a cross-carrier blockchain platform known as CCPS (cross-carrier payment system). This will enable subscribers from one carrier to facilitate purchase payment to the payment network of another carrier. This is the first of its kind to be provided by a South Korean mobile carrier.

The overseas blockchain based payment system would enable the LG Uplus subscribers to pay for transactions at some selected retailers with their mobile phones when they travel to Taiwan, and Japan. This will also allow the users to of Far EasTone and SoftBank to access the same service when they travel to South Korea, Taiwan, or Japan.

The director of the mobile services at LG Uplus, Joo Young-Joon stated that the blockchain based payment system would offer customers the benefits of an overseas payment system based on a convenient, economical and secure blockchain technology.

So also, the payment system will enable its users to avoid the expensive international card-based transactions and also speeding up the payment process. This is done by billing users in the value of their home currencies through their mobile phone network. This helps to avoid the effects of fluctuations in the Forex market.

Mobile Payments Across Different Carriers

A blockchain proof-of-concept for peer-to-peer mobile payments across different carriers was launched recently by Softbank in partnership with TBCASoft, as well as Synchronoss, a Nasdaq-listed firm that delivered an SMS-replacement communications protocol.

Further, TBCASoft is facilitating the LG Uplus mobile payments across borders with its technology.

Notably, the founding members of a blockchain consortium of mobile carriers known as Carrier Blockchain Study Group (CBSG) are; Far EasTone, SoftBank and TBCASoft. Their primary goal is the joint development of the industry using blockchain.