Fireblocks has entered a partnership with NongHyup Bank, a prominent South Korean bank that focuses on commercial credit and agricultural banking services. They have signed a Memorandum of Understanding (MoU) to initiate a pilot project aimed at tokenizing value-added tax (VAT) refunds. Using the Fireblocks Tokenization Engine, the project intends to enhance transparency and security in tax refund processes for VAT and goods and services tax (GST) on retail purchases. Michael Shaulov, co-founder and CEO of Fireblocks, emphasized that tokenization allows for unique digital identifiers for assets that facilitate real-time tracking while minimizing risks such as fraud. The VAT rate in South Korea stands at 10%, with certain exemptions for specific products and tourists. NongHyup Bank's president expressed the importance of this MoU in their pursuit of innovative blockchain services for their customer base of over 10 million. They also aim to explore further collaborations in the blockchain space.

Source 🔗