KB Kookmin Card, a subsidiary of South Korea’s largest financial group, has taken a new step toward blending traditional finance with digital assets by filing a patent for a stablecoin-based payment system.
According to a press release shared on Wednesday, the patent outlines a hybrid payment model that connects existing credit cards with blockchain-based digital wallets. Under the proposed setup, users would register a blockchain wallet address to their current credit card, allowing stablecoins stored in that wallet to be used seamlessly during everyday card transactions.
The system is designed to prioritize stablecoin balances first. When a payment is made, funds would be drawn from the linked digital wallet. If the stablecoin balance does not fully cover the purchase, the remaining amount would automatically be charged to the user’s credit card. From the customer’s perspective, the payment process would look and feel much like a standard card transaction.
KB Kookmin Card says the goal is to reduce friction in digital asset payments by keeping the familiar credit card infrastructure in place. This approach would preserve features consumers already rely on, such as rewards programs, fraud protection, and established settlement systems, while introducing stablecoins as an additional payment option.
“This patent lays the technical foundation for customers to use digital assets more easily and securely,” a KB Card executive said in the statement.
The company added that any future rollout would carefully consider regulatory requirements and market conditions, with consumer protection as a priority.
Stablecoins gain momentum in South Korea
The patent filing comes as South Korea moves closer to creating a formal framework for stablecoins. Under the policy direction of President Lee Jae Myung, the proposed Digital Asset Basic Act is expected to support the development of a local stablecoin market, including tokens pegged to the Korean won.
In June, KB Kookmin Bank was among the first institutions to apply for stablecoin-related trademarks after regulators and lawmakers signaled openness to the initiative. Since then, discussions have intensified around who should be allowed to issue stablecoins. Reports suggest the Bank of Korea and the Financial Services Commission favor a consortium model led by licensed banks, although some lawmakers from the ruling party have argued that this structure could limit innovation.
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The Digital Asset Basic Act, which would be the country’s second major legislative framework for digital assets, is currently targeted for completion in the first quarter of this year.
