Ripple is expanding its presence among institutional players in South Korea thanks to a partnership with KBank, the country's first fully online bank and the exclusive banking partner of the Upbit exchange.
The agreement was signed on April 27 at the KBank headquarters in Seoul. The document was approved by CEO Choi Woo Hyun on behalf of the bank and by Fiona Murray, managing director for Asia-Pacific at Ripple.
According to The Korea Herald, as part of the collaboration, the parties will test blockchain-based cross-border transfers across several international corridors. The goal is to see if such solutions can outperform traditional banking networks in terms of speed, cost, and transparency.
Ripple and KBank Test Transfers to UAE and Thailand
Ripple and KBank are conducting a multi-stage test of a new money transfer model. In the first stage, they tested transfers through a separate app using a wallet. The second stage, now underway, connects KBank customer accounts and the bank's internal systems to assess the stability of on-chain transfers.
The main focus is on corridors to the UAE and Thailand. For testing, the bank uses the Palisade wallet in SaaS format from Ripple. Settlements are conducted in a stablecoin, not in XRP.
This approach allows blockchain payments to be tested without the risks associated with crypto asset volatility, which is especially important for projects with strict compliance requirements. According to Fiona Murray, KBank has long set the trend in digital banking in Korea and remains one of the key innovators.
This is already the second partnership between Ripple and Korean companies this month. On April 15, the company signed an agreement with Kyobo Life Insurance to test tokenization of government bond settlements.
KBank's Ties to the Crypto Market Increase the Deal's Significance
KBank plays an important role in South Korea's crypto market, making this partnership especially significant. The bank works directly with Upbit, the country's largest exchange by trading volume. Local regulations require users to link a bank account, and each exchange has only one banking partner.
This system helped KBank quickly grow from about 2 million clients in 2020 to 15 million by the end of 2025. Essentially, Ripple is gaining access to a major digital bank already deeply integrated into the country's crypto market.
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The deal coincides with preparations for the new Digital Asset Basic Act. It is expected to establish stablecoins as a payment instrument and introduce rules for international crypto asset operations.
At the same time, major financial companies in Korea are increasingly entering blockchain. Ripple is promoting its Palisade, Ripple Custody, and the RLUSD stablecoin, focusing on the institutional market.
Ripple Expands Korea Strategy Beyond Transfers
Ripple in Korea is no longer limited to transfers. The company is entering several areas at once: banking, insurance, asset custody, tokenization, and settlements.
The partnership with Kyobo Life was the first experience working with an insurance company in the country. There, they want to test near-instant settlements for government bonds and see how stablecoin-based payments can work.
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Outside Korea, Ripple is also moving in this direction. For example, the company is working with Aviva Investors to help launch tokenized funds on the XRP Ledger. As of 2025, Aviva Investors manages about $345 billion. The plan is to develop this area in the coming years.
There is also a partnership with Convera. The goal here is simpler: to speed up and simplify settlements for businesses. Convera provides its payment and currency infrastructure, while Ripple adds blockchain and stablecoins.
