SBI Group and Kyobo Life Insurance have successfully tested a cross-border digital transfer model that converts yen-linked tokens directly into won-linked tokens, potentially revolutionising institutional settlement with faster, cost-effective processes at a time when local-currency digital transactions gain momentum.
SBI Digital Practice and Kyobo Life Insurance have completed a cross-border pilot that tested whether value can move between Japan and South Korea without passing through the US dollar. According to the companies, the trial converted yen-linked test tokens directly into won-linked tokens in a Canton Network test environment, offering a possible model for faster institutional settlement and fewer foreign-exchange steps.
The experiment began in July and covered the full process from transfer and exchange to settlement, receipt, storage and holding of the digital tokens. Kyobo said the exercise was the first in South Korea’s insurance sector to verify the end-to-end cross-border transfer and settlement flow for institutional funds. The firms used test tokens rather than commercially issued stablecoins, so the result showed technical feasibility rather than live market performance.
The companies said the structure could cut processing time, reduce intermediary conversion costs and improve transaction tracking. Canton Network, the blockchain used in the test, is designed for regulated financial institutions and incorporates privacy and compliance features intended to keep transaction data visible only to relevant parties. That makes it more suitable for institutional use than public crypto rails that expose more information by default.
The pilot also fits a broader push by SBI Group and Kyobo into tokenised finance and local-currency settlement. SBI has already backed a separate yen stablecoin initiative, while Kyobo is working with Ripple on tokenised South Korean government bond settlement and around-the-clock payment rails. The two firms said they plan to keep exploring digital asset conversion, overseas investment, asset management and tokenised-asset transfers as legal and market infrastructure develops.
Disclaimer: This article is intended to inform and educate, not to recommend or endorse any financial product, investment or strategy. Please consider your own financial circumstances and seek professional advice where appropriate before making financial decisions.
