A significant initiative is making strides in South Korea, aiming to establish a stablecoin ecosystem that enhances foreign exchange. Sooho.io, a notable blockchain company recognized for its contributions to digital asset infrastructure, has joined forces with Chainlink to launch Project Namsan. This ambitious project seeks to develop a secure and transparent system for foreign currency exchanges utilizing stablecoins.
As part of the initiative, the consortium conducted a pilot program specifically designed for international tourists visiting Korea. Participants in this trial had the opportunity to deposit USD-based stablecoins and receive digital vouchers in Korean won (KRW). These vouchers could be used for payments at selected venues, providing tourists with an innovative and potentially cost-effective way to manage their money while traveling. The project reported that transaction costs were over 30% lower than those associated with traditional foreign exchange services, suggesting a more economical option for visitors looking to spend in Korea without relying on banks or costly FX services.
Central to the functionality of this system is Chainlink’s Cross-Chain Interoperability Protocol (CCIP) and Proof of Reserve technology. CCIP connects the Namsan network to various blockchains, whether public or private, while Proof of Reserve ensures continuous verification of stablecoin reserves. This mechanism guarantees that the KRW digital vouchers issued by the system are always backed by actual assets, thereby enhancing trust and mitigating risks commonly associated with cross-border transactions. The implementation of a Delivery-versus-Payment (DvP) model ensures that settlement occurs only after the reserves have been validated.
The decision to incorporate Chainlink’s technology stems from its proven security credentials. The decentralized oracle network has supported more than $100 billion in decentralized finance (DeFi) transactions, facilitating trillions in on-chain activity since 2022. The Proof of Reserve parameter has also gained recognition as an industry standard for ensuring transparency, guaranteeing that stablecoins and tokenized assets are fully collateralized.
The pilot program, which began in July 2025, received backing from several public enterprises, including Grand Korea Leisure (GKL), which operates the “Seven Luck” casino brand geared toward foreign visitors. GKL attracts approximately 1.5 million international tourists each year, and its participation underscores the practical applications of the new system in real-world scenarios where tourists frequently need to exchange currency. By reducing foreign exchange costs and speeding up settlement processes, Project Namsan could significantly enhance the experiences of visitors while also contributing positively to Korea’s tourism industry.
Sooho.io has a history of engaging in projects designed to modernize Korea’s digital asset landscape. Previously, the company collaborated with the Bank of Korea on the Purpose Bound Money (PBM) initiative, which allows users to program specific conditions into digital currency usage. Project Namsan builds upon this foundation, demonstrating how programmable money and verified reserves can be effectively utilized in the foreign exchange market.
Leaders from both organizations have expressed their enthusiasm for the project. Jisu Park, CEO of Sooho.io, emphasized its significance, stating, “This project with Chainlink is a meaningful achievement that shows our technology is recognized globally. We will continue to serve as a trusted clearing and settlement partner to help financial institutions in the Asia-Pacific region use stablecoins safely.” Niki Ariyasinghe, Chainlink Labs’ Head of Business Development for Asia-Pacific and the Middle East, remarked on the collaboration’s potential to secure and enhance transparency within Korea’s stablecoin foreign exchange markets. He noted that incorporating interoperability and on-chain reserve data paves the way for broader stablecoin integration into Korea’s financial ecosystem.
Project Namsan stands as a testament to how programmable money and transparent standards can drive financial innovation in Korea. If the pilot succeeds, it may lead to a wider adoption of stablecoins in cross-border payments, remittances, and retail transactions, positioning Korea as a key player in testing stablecoin foreign exchange solutions. The promising outcomes from the pilot suggest that broader rollout could benefit both visitors and local businesses, culminating in a transformative shift towards digital currencies underpinned by robust infrastructure and reliable verification mechanisms.
