South Korean payment service provider NHN KCP partners with Avalanche to build a payments-dedicated Layer 1 network

According to The Block, Korean payment service provider NHN KCP has signed a memorandum of understanding with Ava Labs to jointly build a Layer 1 network for payment use cases on Ava Cloud. The initiative will focus on three key areas: sub-second payment confirmation, on-chain transaction data encryption, and customizable merchant payment infrastructure. The two parties will also explore business opportunities including tokenized deposit models, multi-stablecoin settlement architectures, and cross-border payments. Justin Kim, Head of Asia at Ava Labs, stated that the mainnet launch timeline for this L1 will depend significantly on the progress of South Korea’s cryptocurrency regulatory framework.