What to know:
- Project Pangea targets instant stablecoin settlements between European and South Korean markets.
- Chainlink and FairSquareLab provide infrastructure for atomic foreign exchange transactions.
- UniKA and Qivalis unite banks to modernize cross-border currency settlements globally.
Chainlink, FairSquareLab, UniKA, and Qivalis announced Project Pangea, a strategic task force focused on reshaping foreign exchange markets through real-time stablecoin settlement models. UniKA represents the Korean coalition behind the initiative.
Its steering committee includes Shinhan Bank, JB Bank, Kbank, FairSquareLab, and OBDIA, alongside more than ten Korean commercial banks.
Source: Chianlink’s X Post
The Project Pangea aims to unite financial institutions across Europe and South Korea. Participants seek direct atomic swaps involving regulated fiat-linked digital assets, including euro and Korean won stablecoins.
Chainlink contributes data, interoperability, and orchestration standards. FairSquare Lab supplies on-chain foreign exchange settlement technology to support the framework and transaction process.
Global currency markets process more than $9.6 trillion every day. Traditional banking systems still face inefficiencies caused by fragmented infrastructure and intermediary currency conversions.
Cross-border payments often experience delays because institutions must convert capital before completing settlements. Project Pangea seeks to address those obstacles through direct and immediate settlement mechanisms.
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Chainlink Infrastructure Supports Project Pangea
The Project Pangea mission is to incorporate the Chainlink system into the ISO 20022 framework and SWIFT network to facilitate the direct payment versus payment swap via euro and Korean won stablecoins.
The focus of the project includes atomic Forex trades, T+0 settlement, and increased accessibility to on-chain liquidity.
The Chainlink Cross-Chain Interoperability Protocol, Data Streams, and Runtime Environment make sure that Swift and the blockchain networks can connect to each other to have safe transfers and synchronized pricing.
FairSquareLab provides a multi-currency liquidity engine and the Pangea L1 blockchain, in which oracle upgrades take place and liquidity protection makes sure of the right pricing.
Project Pangea Connects Banking and Blockchain Networks
Project Pangea involves collaboration between companies from the finance and technology industries. The representatives of Chainlink characterized the project as one of the significant achievements on the way to upgrading value transfers in the contemporary world.
The FairSquareLab identified chances of further development of relations between the Korean won and other international markets.
The architecture has three layers. For the banking layer, SWIFT and ISO 20022 messaging are used. For the connectivity layer, Chainlink CCIP and Data Streams are used.
For the settlement layer, Pangea automated market maker contracts run on Ethereum, Polygon, and Pangea L1. Banks are still using their old systems, but Chainlink is translating those into on-chain settlements.
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