Mongolia Welcomes First Ever Blockchain Payment System Launched by Terra
Today Terra announced its partnership with Mongolia, Ulaanbaatar capital city to make use of its blockchain technology and change how citizens from Mongolia pay for their services and goods. Terra is a blockchain firm that builds system of payment that has been powered by its stable cryptocurrency price.
The first launch of Terra’s payment solution will be done in Nalaikh District in the city of Ulaanbaatar. It will be done through a pilot program with plans of expanding it citywide. Despite being in its early stages, the fintech Mongolia market has recently experienced lots of successful IPOs from the local startups which portray the rising potential of the market. Reacting to this achievement, the Mongolian government has decided to implement continuous regulations which intend to facilitate the development of fintech and startups like the Mongolia’s Central Bank which approved the launch of the first national digital currency license.
Terra plans to reinvent banking and payments in Mongolia by securing and simplifying the process of payment with a click of a button and offering other financial services like low cost and fast lending and remittance. All this has been supported by the Mongolia government.
This partnership is geared towards reforming the largely cash based Mongolia infrastructure by making possible convenient and transparent digital system. Nalaikh City pilot program will be started with two main features: mobile payment to help in building the infrastructure for contactless and secure payments and peer-to-peer (P2P) payments that allows immediate transfer among users of different banks.
Terra will be working with the local government to help replace the method of paying government subsidies and utility bills with its stable coin. This will act as an immediate step.
Terra is fast growing into a widely adopted stablecoin cryptocurrency through the ever growing group of partners that comprises of giants from eCommerce like Tiki (Vietnam), Baemin (Korea), TMON (Korea) and Carouell (Singapore).
Mongolia’s capital city is the latest addition and the first government to come together with alliance partners who will integrate the payment solutions from Terra to their platforms. Up to now, Terra Alliance is known to have a collective yearly transaction volume of $ 25 billion and a total of 40 million customers. This has set the stage to Terra to get to the mainstream consumers at a higher scale.
The Co-founder of Terra, Daniel Shin, “The recurring utility payment and facilitating P2P with Terra are some of the most important steps geared towards coming up with a blockchain based infrastructure in finance in Mongolia. From there we will be in a position to come up with a wider range of financial services, changing the loan, remittance and overall banking industry. We are glad to be working with the government of Mongolia and look forward to Terra launch in Ulaanbaatar.” the Governor, Nalaikh District of the Capital City. Radnaabazar Choijinsambuu.
The pilot program will start within the next 6 months. A special task force that consists of players from XGround – a fintech firm with main base in Mongolia and Terra, Nalaikh District will help oversee the program.