LG CNS to expand blockchain-based mobile gift cards to seven new areas
LG CNS said Wednesday that it will expand its blockchain-based regional mobile gift card service, which uses its “Monachain” blockchain platform, to seven from the current two. Additional locations, such as Pohang in North Gyeongsang and Gunsan in North Jeolla will be added. The company announced the expansion at its headquarters in western Seoul during a demonstration of its cloud, artificial intelligence and blockchain services. The announcement expands the information technology (IT) and service-focused company’s recent venture into blockchain services. What does LG CNS do with blockchain? LG CNS joined the financial blockchain consortium R3 in May last year and is currently conducting a pilot blockchain-based service for the Bank of Korea for overseas money transfer. The company joined global blockchain project Hyperledger in July last year and has also joined the Enterprise Ethereum Alliance in January this year. What is Monachain? Monachain was coined as a portmanteau of the Mona Lisa and blockchain to mean a masterpiece of blockchain. It was released in May last year by LG CNS as a blockchain-based platform for enterprises, allowing services such as digital authentication. It uses the Hyperledger fabric and supports not only Amazon and Microsoft protocols but also the Korea Internet & Security Agency’s G-Cloud platform, and can be applied to all industries, including finance, telecommunications and manufacturing. LG CNS’ blockchain business 1. Regional gift cards for the Korea Minting and Security Printing Corporation LG CNS currently manages the blockchain trust platform Chak for the regional gift cards, which uses Monachain. The service eliminates the problems related to the distribution, selling and management associated with traditional gift cards. The Korea Minting and Security Printing Corporation chose LG CNS to operate the business in June last year. It established the platform in February and has started service since. It is currently being serviced in Siheung and Seongnam, both in Gyeonggi. The service is expected to expand to five other locations in the first half and two others in the second half. 2. Community currency within LG Group’s research complex in western Seoul LG CNS is also looking to introduce a currency that makes use of the electronic pre-paid payment system in the research complex. Unlike the regional gift card service, the currency makes use of decentralized identification technology to make payments. It will allow not only simple transactions but also works as identification. It will start service in August and is expected to expand to other locations. 3. Digital asset transaction platform LG CNS’ platform service looks to convert memberships or other similar information into digital tokens so that transactions will be possible online. It is planning to expand the platform to used cars, antiques, financial products and private shares. 4. Managing distribution records of used batteries in Jeju The company is conducting recycling services for used electric car batteries in Jeju. It collects, inspects, analyzes and records the information from batteries on its blockchain platform that is shared in real time with the regional government, recycling centers, distribution centers and customers.