NH Nonghyup Bank to Begin Live Transaction Validation for BIS-Led 'Project Agora'

Innovation in Cross-Border Payments
Prototype Validation Completed for Global Collaboration Project
Participation Planned in Live Transaction Testing and Follow-Up Phases

NH Nonghyup Bank announced on May 28 that it has successfully completed the prototype validation for 'Project Agora,' a global collaboration initiative led by the Bank for International Settlements (BIS) and the Institute of International Finance (IIF).

Project Agora is an international public-private partnership involving central banks from seven countries and major global financial institutions. Its goal is to enhance the efficiency and stability of cross-border wholesale payments and settlements by leveraging tokenized bank deposits and central bank reserves. In particular, the project is reviewing the feasibility of implementing real-time multi-currency payments based on an integrated ledger, with a focus on addressing inefficiencies in the existing international remittance structure.

During this prototype validation, the project confirmed: ▲ the feasibility of real-time atomic settlement across multiple currencies, ▲ the potential for improved cross-border payment efficiency, and ▲ the ability to maintain currency singleness in a tokenized environment. Additionally, it demonstrated the potential for tokenization technology—grounded in trust in central bank money and sound payment practices—to be utilized in future global payment and settlement systems, as well as financial transactions.

Through its participation, NH Nonghyup Bank reviewed the structure of deposit tokens and the applicability of future international settlement models. The bank also plans to participate in the upcoming 'live transaction testing phase,' which will verify the stability and utility of the system using actual funds.

Kang Taeyoung, CEO of NH Nonghyup Bank, stated, "Project Agora is a significant example of global collaboration in which central banks and private financial institutions jointly explore the direction of future payment infrastructure. NH Nonghyup Bank will actively participate in live transaction-based validation and follow-up discussions, while also continuing its involvement in the second phase of the Bank of Korea's 'Project Hangang,' proactively responding to changes in the future digital financial environment."

This content was produced with the assistance of AI translation services.