LG UPlus (LGU+) Mobile Provider Opens Blockchain Cross-Carrier Payment System (CCPS)
South Korea’s LG U+ Launches Blockchain Based Payment System
LG plus which is one of South Korea’s mobile carriers has put forth a cross-border payments system built on blockchain technology. LG+ is owned by Korea’s 4th largest corporation LG. LG+ signed an MOU on September 13th to provide the service amongst 3 other corporations namely; Taiwanese FarEstone Telecommunication, Japan’s Softbank and TBCASoft that’s based in USA.
The new payment service allows users of one network to transact with another payments network in a frictionless manner. The first trial for the LG+ payment system will be conducted in early 2019. The Cross Carrier Payment System will use blockchain technology to transmit payments.
Benefits of the Platform
Since payments using blockchain, users will be in a position to pass on expensive international payments methods. The existing methods are time consuming and one can’t keep track of where the money is in the system.
Another great benefit is that the payment made will be cushioned against fluctuating foreign exchange rates that’s a great challenge when carrying out international trade. The platform users will be insulated from this since the transaction will be pegged on the prevailing rate of the home currency. The plat form will allow South Koreans who have subscribed to the LG+ network to purchase goods using their mobile phones while in Taiwan and Japan.
Carrier Blockchain Study Group
The CEO of TBCASoft, Ling Wu, says the platform is a first of a series of telcom-specific solutions that are centered on blockchain. These telcom giants are among the first founders of a global consortium that seeks to transform the industry using blockchain based solutions known as Carrier Blockchain Study Group.
The study group announced that it had launched a new working group that will look for effective ways to use blockchain to make remittances globally. The group was also working to add other corporations into its fold. Such efforts will help grow telcom companies in the blockchain space. Softbank also announced in recent times that it was in partnership with Synchronoss for a new proof of concept platform. All these moves are a plus for blockchain technology.