Altcoin News: Cambodian Central Bank Tests Digital Wallet to Facilitate International Payments

October 18, 2019, by Marko Vidrih on ALTCOIN MAGAZINE

The Central Bank of Cambodia intends to reduce the cost of cross-border payments and is exploring the possibilities of a digital wallet Bakong, created on the basis of Hyperledger Iroha.

Last week, the National Bank of Cambodia (NBC) signed an agreement with the Malaysian bank Maybank to determine how digital payment platforms of two organizations — Bakong and Maybank2u — can work in tandem to reduce money transfer fees.

NBC President Chea Serey said that at the moment, the transfer fee between organizations can reach 30%.

“The introduction of Bakong system will provide more possibilities in enhancing payment system at both domestic and regional level,” she added.

The Bakong platform was launched in July this year and is already serving users of eight Cambodian banks, including ACLEDA Bank, the country’s largest commercial bank that manages assets of more than $5 billion.

Combining Bakong with Maybank2u can help improve the quality of service for residents of both countries. Datuk Hamirullah Boorhan, Head of Community Financial Services for Maybank Malaysia, said that 52% of all online banking transactions in Malaysia go through Maybank2u.

“We look forward to providing our customers in Malaysia and Cambodia with a convenient yet cost effective solution for inter-country funds transfer,” Boorhan said.

Recall that last year, the Central Bank of Cambodia began to demand to license any operations with cryptocurrencies.

Author: Marko Vidrih