Beautiful Virgin Islands

Sunday, Sep 21, 2025

Bank of Korea to Test CBDC Offline Payments on Samsung Phones

Bank of Korea to Test CBDC Offline Payments on Samsung Phones

The Bank of Korea is testing a CBDC on Galaxy smartphones. The central bank is looking to pilot whether it’s possible to make offline crypto payments between users. For the last two years Samsung has been integrating blockchain-friendly features into its phones.

Samsung Electronics is participating in a project led by the Bank of Korea (BOK) to build a pilot platform for a central bank digital currency (CBDC).

CBDCs are central bank-backed digital currencies. The aim of a CBDC is to provide a digital alternative to a country’s traditional fiat currency. Some are based on blockchains, many are simply “inspired” by them. Most countries are researching CBDCs right now, most notably South Korea’s rival China, which has been piloting its digital yuan since last April.

The Bank of Korea announced it would hold a bid to select its technology supplier for the CBDC back in May. After facing stiff competition, the contract was given to Ground X, whose Klaytn platform will host the CBDC. Ground X is a blockchain subsidiary of Korean communications giant Kakao.

“Samsung Electronics has recently decided to participate in the BOK-led CBDC pilot project, under which interested parties will research the practicalities of the CBDC in a test environment,” an executive familiar with the issue commented.

BOK and Samsung officials said the project was based on the benefits of a CBDC that include more efficient and advanced payments systems and financial inclusion. Samsung is hoping to test the possible usability of blockchain-based systems on its Galaxy mobile lineup.

“Specifically, the Kakao consortium and Samsung Group’s two tech affiliates will launch a pilot program aimed at checking on money transfers and remittances between countries, issuing and distributing the CBDC and monitoring how that eventually works in virtual environments,” the executive said.

Because the BOK’s efforts are aimed at preparing for adjustments in the payment settlement system, Samsung Electronics plans to test the functionality of the digital currency with its Galaxy smartphone.

“Will it be possible to conduct payments via mobile phones using the digital currency with no internet availability, or to send CBDC remittances to other mobile phones or to other connected bank accounts, are the two core points that Samsung is looking at,” said an official.

Samsung SDS, the group’s IT unit, will play some role for the program. Its affiliate, Escor, will handle the procedures for the experiments with the CBDC. Central banks in developed countries have been showing keen interest in the development of a CBDC, with China’s digital yuan (E-CNY) being the closest to showing visible results.

BOK Governor Lee Ju-yeol downplayed the significance of crypto-assets, as all types of cryptocurrencies aren’t positioned to be valued properly, due to their essential, volatile nature.

But despite his negative stance toward them, he has opened up to the possibility of studying a CBDC and to contemplating why it matters in terms of modernizing financial systems. Because “stablecoins” have become more popular, some observers believe that central banks need to provide alternatives. The BOK will operate its simulation programs regarding the efficacy of the CBDC in two stages.

The BOK plans to use Klaytn, Ground X’s blockchain platform, as the main platform for its CBDC structure.

The first phase of the pilot will run until December and will assess the suitability of the technology. Phase two, which is expected to run from January through to next June, will assess the practicalities of the Bank of Korea expanding its banking practices to incorporate the CBDC.

Samsung has been integrating cryptocurrency into its smartphone hardware since 2019. The launch of the S10, with its built-in cryptocurrency wallet, was followed in 2020 by the S20 range, which expanded on the integrated blockchain functionality with the Blockchain Keystore—a feature that enables users to store the private keys to their crypto wallets safely on their devices.

If the pilot is successful, South Korea will be one of the first countries to offer a CBDC alternative to services like Apple Pay and Google Pay, which enable contactless phone payments without the need for an internet connection.

Source: Bank of Korea to Test CBDC Offline Payments on Samsung Phones – Fintechs.fi

Newsletter

Related Articles

Beautiful Virgin Islands
0:00
0:00
Close
EU Set to Bar Big Tech from New Financial Data Access Scheme
China Bans Livestreaming and AI in Religion Amid Crackdown on Shaolin Temple Scandal
Documents Reveal Mandelson Failed to Declare Epstein-Funded Flights as MP in 2003
Dubai Property Boom Shows Strain as Flippers Get Buyer’s Remorse
Harris Memoir Sparks Backlash from Democrats for Blunt Critiques in ‘107 Days’
Germany Weighs Excluding France from Key European Fighter Jet Programme
Cyberattack Disrupts Check-in and Boarding Systems at Major European Airports
Japan’s ‘Death-Tainted’ Homes Gain Appeal as Prices Soar in Tokyo
Massive Attack Withdraws from Spotify Over Daniel Ek’s €600M Defence-AI Investment
Björn Borg Breaks Silence: Memoir Reveals Addiction, Shame and Cancer Battle
When Extremism Hijacks Idealism: How the Baader-Meinhof Gang Emerged and Fell
Top AI Researchers Are Heading Back to China as U.S. Struggles to Keep Pace
JWST Data Brings TRAPPIST-1e Closer to Earth-Like Habitability
Trump Orders Third Lethal Strike on Drug-Trafficking Vessel as U.S. Expands Maritime Counter-Narcotics Operations
Trump Orders $100,000 Fee on H-1B Visas and Launches ‘Gold Card’ Immigration Pathway
Why Google Search Is Fading and AI Is Taking Its Place
UAE-US Stargate Project Poised to Make Abu Dhabi a Global AI Powerhouse
Federal Judge Dismisses Trump’s Fifteen-Billion-Dollar Suit Against New York Times, Orders Refile
France’s Looming Budget Crisis and Political Fracture Raise Fears of Becoming Europe’s “Sick Man”
Three Russian MiG-31 Jets Breach Estonian Airspace in ‘Unprecedentedly Brazen’ NATO Incident
DeepSeek Claims R1 Model Trained for only $294,000, Sparking Global Debate Over China’s AI Capabilities
SoftBank Vision Fund to Cut Nearly Twenty Percent of Staff in Bold AI Strategy Shift
Intel’s Next-Gen Manufacturing Gets a Lifeline from Nvidia’s Strategic $5B Deal
Erika Kirk Elected CEO of Turning Point USA After Husband Charlie Kirk’s Assassination
Massive Strikes in France Pressure Macron and New PM on Austerity Proposals
Trump Seeks Supreme Court Permission to Remove Fed Governor Lisa Cook
Hillary Clinton’s Reckless Rhetoric Fuels Division After Charlie Kirk’s Assassination
NASDAQ Rises to Record as Intel Soars More Than 20%, Nvidia Gains 3%
Nvidia’s $5 Billion Bet on Intel Reshapes AI Hardware Landscape
Trump and Starmer Clash Over UK Recognition of Palestinian State Amid State Visit
Trump’s Quip on Biden and Google Lawsuit Revives Debate Over Antitrust Legacy
Macron and his wife to provide 'scientific photographic evidence' that she is a real woman
US Tech Giants Pledge Billions to UK AI Infrastructure Following Starmer's Call
Saudi Arabia cracks down on music ‘lounges’ after conservative backlash
DeepMind and OpenAI Achieve Gold at ‘Coding Olympics’ in AI Milestone
SEC Allows Public Companies to Block Investors from Class-Action Lawsuits
Saudi Arabia Signs ‘Strategic Mutual Defence’ Pact with Pakistan, Marking First Arab State to Gain Indirect Access to Nuclear Strike Capabilities in the Region
Federal Reserve Cuts Rates by Quarter Point and Signals More to Come
Effective and Impressive Generation Z Protest: Images from the Riots in Nepal
European manufacturers against ban on polluting cars: "The industry may collapse"
Sam Altman sells the 'Wedding Estate' in Hawaii for 49 million dollars
Trump: Cancel quarterly company reports and settle for reporting once every six months
Turkish car manufacturer Togg Enters German Market with 5-Star Electric Sedan and SUV to Challenge European EV Brands
US Launches New Pilot Program to Accelerate eVTOL Air Taxi Deployment
Christian Brueckner Released from German Prison after Serving Unrelated Sentence
World’s Longest Direct Flight China Eastern to Launch 29-Hour Shanghai–Buenos Aires Direct Flight via Auckland in December
New OpenAI Study Finds Majority of ChatGPT Use Is Personal, Not Professional
Hong Kong Industry Group Calls for HK$20 Billion Support Fund to Ease Property Market Stress
Joe Biden’s Post-Presidency Speaking Fees Face Weak Demand amid Corporate Reluctance
Charlie Kirk's murder will break the left's hateful cancel tactics
×