POSCO International Tokenizes Trade Receivables in Blockchain Pilot with LG CNS

POSCO International, South Korea’s top trading firm, has initiated a blockchain-based tokenization trial for trade receivables alongside LG CNS, the technology division of LG Group. This initiative aims to accelerate cross-border payments between its global subsidiaries by digitizing receivables through Injective’s layer-1 blockchain platform.

POSCO, which reported $22.2 billion in revenue last year across steel, energy, and battery sectors, is utilizing actual receivables stemming from real international trade transactions rather than synthetic data. The pilot focuses on optimizing the workflow for claims typically delayed by reconciliation processes between counterparties and financial institutions.

Trade receivables, representing payments owed to POSCO after goods shipment but before settlement, often involve complex coordination across multiple parties. By anchoring these claims to a shared blockchain ledger, the technology creates an immutable record that enforces compliance rules directly on the tokenized asset.

This approach eliminates redundant verification steps, enabling faster settlements while maintaining audit trails. POSCO emphasized using production-grade receivables to validate the system’s real-world applicability, with particular focus on cross-border transaction efficiency and regulatory alignment.

Source link