Toss Bank, South Korea's third-largest internet-only bank, signed a memorandum of understanding with the Solana Foundation on June 19 in Seoul to test cross-border remittances using stablecoin technology. The partnership aims to provide faster and cheaper overseas transfers for the bank's roughly 15 million customers through a proof of concept before any wider rollout. The agreement marks the first direct strategic cooperation between a South Korean internet-only bank and the Solana Foundation, deepening Solana's institutional presence in the country following deals with Shinhan Card in April and Western Union's stablecoin launch last month.
Toss Bank and Solana Foundation Sign MOU for Remittance Pilot
Toss Bank signed the agreement on June 19 and called it the first direct strategic cooperation agreement between a South Korean internet-only bank and the Solana Foundation. The partnership will begin with a proof of concept for stablecoin-powered overseas transfers before any wider rollout.
Under the arrangement, Toss will handle the banking service and user-experience side of the trial, while the Solana Foundation will provide the underlying blockchain infrastructure for settlement-related issues. The memorandum of understanding is non-binding.
Stablecoins, the dollar- and currency-pegged tokens that sit at the center of the trial, have increasingly displaced traditional wire transfers in remittance corridors thanks to their ability to settle in seconds rather than days and strip out correspondent-banking fees.
Solana Foundation Expands Institutional Partnerships in South Korea
The Toss Bank deal is the latest in a series of institutional partnerships for Solana this year. Shinhan Card, South Korea's largest credit card issuer, partnered with the Solana Foundation in April to pilot a stablecoin payment program.
Remittance company Western Union released a Solana-based USDPT stablecoin last month. Backers argue the network's low fees and high throughput make it well-suited to high-volume payment flows, though critics note that past outages raised questions about reliability for mission-critical banking infrastructure.
Proof of Concept to Test Stablecoin Transfer Workflows
The first phase will examine whether stablecoin transfers on Solana can slot into existing remittance workflows without breaking compliance, settlement or consumer-protection requirements. Cross-border remittances remain a slow and costly business, often taking days and shedding several percentage points in fees.
For Toss, the appeal is a faster, cheaper transfer product that could help sway a customer base that already lives inside a mobile app. If the proof of concept clears its technical and regulatory tests, the bank could move toward a live remittance product built on the network.
FAQ
What did Toss Bank and the Solana Foundation announce on June 19?
Toss Bank signed a memorandum of understanding with the Solana Foundation on June 19 in Seoul to test cross-border remittances using stablecoin technology for its roughly 15 million customers.
Why is Toss Bank testing stablecoin transfers on Solana?
Toss Bank aims to provide faster and cheaper overseas transfers for its customers by using stablecoin-powered transactions that settle in seconds rather than days and reduce correspondent-banking fees.
How does the Toss Bank partnership fit into Solana's institutional strategy?
The Toss Bank deal follows Solana Foundation partnerships with Shinhan Card in April and Western Union's launch of a Solana-based USDPT stablecoin last month, expanding the network's institutional presence in South Korea.
