Circle has signed separate memorandums of understanding (MOUs) with South Korea’s Kakao Group and fintech firm Toss to expand stablecoin payments, blockchain settlement and digital asset infrastructure as the country prepares new rules for the sector.
The agreements bring Circle’s USDC stablecoin and blockchain infrastructure into discussions with two of the country’s largest consumer finance platforms. While no commercial product or stablecoin has been announced, the partnerships will look at how USDC and future Korean won-backed digital assets can support payments, remittances and tokenized financial services.
Circle 🤝 Kakao Group
Circle and Kakao Group have signed an MOU to explore blockchain-based payment infrastructure and digital asset technologies in Korea.
Together, we’ll assess opportunities for USDC and Circle’s global payment rails across payments, settlement, and digital… pic.twitter.com/MmZRd19iIH
— Circle (@circle) July 23, 2026
Circle, Kakao and Toss to push USDC payments in South Korea
Kakao Group said it will combine Circle’s blockchain infrastructure with the services of Kakao Pay and Kakao Bank to study payment, settlement and digital asset connectivity. The companies will focus on faster settlement systems, cross-border remittances, merchant payments and links between blockchain networks and existing financial infrastructure.
The group added that the infrastructure could eventually support services for other Korean businesses, although the agreement does not include a launch date or plans to issue a KRW stablecoin. Kakao Pay CEO Shin Won-keun, said the partnership will help prepare South Korea’s digital asset ecosystem. Circle executives met Kakao representatives in Pangyo on July 22 before the announcement.
Circle also signed a separate MOU with Viva Republica, the operator of Toss, and Toss Bank. The companies will study blockchain-based payments, digital wallets, programmable onchain transactions and USDC-backed financial services.
Why Circle is focusing on infrastructure instead of a KRW stablecoin
Rather than issuing its own won-backed stablecoin, the company wants USDC to serve as the bridge between future KRW stablecoins and global blockchain payment networks.
That position has remained consistent for months. During a visit to Seoul in April, Circle CEO Jeremy Allaire met executives from Korean banks, exchanges and payment firms and said the company had no plans to launch its own KRW stablecoin. Circle instead aims to provide the blockchain infrastructure that local institutions can build on once regulations are finalized.
The latest partnerships follow Circle’s engagement in the country, including its Current Seoul event, which brought together banks, exchanges, payment companies and technology firms to discuss digital asset regulation and stablecoin adoption.
South Korea may become Circle’s next growth market
The deals also shows how South Korea’s largest financial technology companies are preparing for a regulated stablecoin market before new laws take effect.
Kakao Bank, Kakao Pay and Toss have all increased their blockchain efforts as policymakers work on a legal framework for stablecoins and tokenized financial products. Instead of rushing to launch digital currencies, the companies are building payment rails, settlement systems and banking connections that could support future blockchain-based financial services.
Additionally, Circle recently partnered with Japan’s JCB to explore USDC for merchant payments and corporate treasury transfers.
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