Samsung Electronics has reportedly teamed up with the Bank of Korea (BOK) to participate in the Central Bank of Korea (CBDC) pilot program that the Bank of Korea launched late last month. Samsung and other interested parties will “research the practicalities of CBD in a test environment,” according to an executive statement carried by the Korea Times.
Basically, Samsung Electronics wants to test a central bank digital currency (CBDC) and the possibility of using blockchain-based systems on its Galaxy smartphones. Through its beta tests, the company aims to determine whether it is possible to complete mobile payments using digital currency when the Internet is not available.
Furthermore, Samsung Electronics is trying to determine whether it is possible to “send CBDC transfers to other mobile phones or to other connected bank accounts” or not. According to an unnamed Samsung official, these are the “key points” that the company is exploring through this partnership with the Bank of Korea.
Samsung’s SDS subsidiary will participate in the central bank’s digital currency pilot program, but will not operate alone. It will be supported by a subsidiary Escor, and will be joined by the Kakao consortium to start the project.
Samsung and the Kakao consortium will launch a pilot program designed to test central bank digital currency transfers between different countries.