ShinhanCard and OmiseGO (OMG) have developed the first Proof-of-Concept for the ShinhanCard loyalty program that will enable borderless interoperability.
The ShinhanCard is issued by Shinhan Financial Group, one of the largest banking entities in South Korea.
The Shinhan and OmiseGO Partnership
The two entities partnered in April 2018 when they signed a MoU to explore new opportunities in the blockchain and fintech space.
The two have since been working closely. OmiseGO is collaborating with Shinhan to exchange learnings and improve the capacity to adopt blockchain tech.
“That MoU has resulted in a use case that demonstrates a cross-border Proof-of-Concept (PoC) aimed at expanding the ShinhanCard loyalty program internationally and enable borderless interoperability.”
How Does the POC Work?
OmiseGo shared a video of the transactions of digital assets with tokenized value that will be used to represent the reward points on ShinhanCard.
As the Shinhan Group is one of the largest banking entities in South Korea, the ShinhanCard’s reward points can be used with almost all online and offline merchants in the country.
Users of the card receive extra benefits from purchasing products on their payments app, ShinhanPay FAN.
These fan points will be minted using Ethereum (ETH) smart contracts and deposited into a Plasma blockchain.
The transactions will also take place on the Plasma blockchain between the user and the merchant.
The company’s developers use OmiseGo’s web interface for enterprise developers.
This interface is designed to replicate the functions of an eWallet, enabling fast transactions as well.
If ShinhanCard chooses to adopt the OMG network with merchant acceptance, the users would be able to exchange their loyalty points with other customers and merchants on the network across borders.
This functionality could eventually enable exchange between any digital asset using the OMG network.
Both OmiseGo and ShinhanCard are working on research and development together to further explore the potential of plasma and blockchain.