Dr. Karin Boonlertvanich, KBank Executive Vice President, said, "KBank is committed to developing digital technologies and cross-border payment innovations through blockchain technology for real-time transactions. This is a pivotal step in transforming financial transactions to be more convenient, faster, and secure. Our achievement stems from the collaboration of KBank, Orbix Technology, and StraitsX in developing a blockchain-based payment solution tailored for Thai tourists traveling to Singapore, allowing them to seamlessly make payments to local merchants. This serves as a milestone for KBank and our partners as we jointly drive innovations for customers while paving the way for future financial services. Our collaboration underscores our commitment to advancing Thailand's digital financial economy to compete on the global stage."
Mr. Yarnvith Raksri, Managing Director of Orbix Technology and Innovation Co., Ltd. (Orbix Technology), noted that advancements in blockchain technology have sparked the creation of financial innovations to meet the increasingly diverse needs of users. Most recently, Quarix has played a significant role in driving the Q-money by KBank app and integrating it with the StraitsX system to allow seamless cross-border payments via blockchain, making them as convenient as domestic transactions. This marks a significant innovation in cross-border payments, enhancing speed, security, and reliability.
Mr. Tianwei Liu, Co-Founder and CEO of StraitsX, added that the currency exchange process involving the conversion of Thai Baht in the form of Q-money into Singapore's stable digital currency or XSGD, issued by StraitsX, based on blockchain technology, enables instant settlement between Thai Baht and XSGD. Subsequently, merchants in Singapore will receive real-time payments in the Singapore Dollar, their chosen currency. This solution significantly enhances the stability and convenience of cross-border payments.
The entire payment scanning process takes less than one minute, offering users the convenience and speed of making payments as if they were in their own country. The steps are as follows: Users open the Q-money by KBank app and scan the PayNow or Grab QR code belonging to merchants in Singapore to pay in Thai Baht, without having to manually look up currency exchange rates. Once users confirm the exchange rate displayed on the app, the blockchain systems of Quarix and StraitsX then work together to enable real-time settlement between Q-money and XSGD. The merchants then instantly receive payments in their chosen currency, eliminating the need to manage exchange rates by themselves.
In addition, this initiative, operating under the Bank of Thailand's regulatory sandbox, serves as a testing ground designed to safely pilot new projects in compliance with regulatory guidelines.
Mr. Yarnvith noted in closing that KBank and Orbix Technology plan to develop the Q-money by KBank app to support foreign tourists visiting Thailand, so they can make real-time QR code payments to Thai merchants conveniently and securely. The ultimate goal of the project is to expand the Q-money by KBank app to facilitate QR code payments across Southeast Asia, allowing seamless cross-border payments and enhancing the efficiency of interconnected payment systems throughout the region.
The above-mentioned innovation is currently under review by the Bank of Thailand for implementation within the regulatory sandbox.
Source: KASIKORNBANK