Major South Korean Bank Enters Cryptocurrency Trust Business

KB Kookmin Bank, one of South Korea's largest banks, has teamed up with blockchain venture fund Hashed and cryptocurrency trading platform Cumberland Korea to establish a "strategic technology collaboration" to custodian digital assets.

The companies in the partnership say that starting a cryptocurrency custody business is a response to regulatory changes. These changes have spurred them to look at new business models - especially those based on blockchain technology.

Simon Kim, CEO of Seoul and San Francisco-based company Hashed, stated:

"Combining our insights into the blockchain industry with technical and commercial consulting will inevitably open new doors for both consumers and a country that has ushered in a new era of digital transformation."

The announcement of KB Kookmin bank comes after a statement from one of its main rivals, NongHyup, or NH Bank. NH Bank announced in early July that it also plans to create cryptocurrency custody services. However, the platform proposed by NH bank will focus only on institutional investors.