A securities industry analysis said Hecto Financial is expanding its business base in the global digital-asset payment and settlement market by joining the OpenUSD ecosystem after Circle Payments Network (CPN). It also raised the possibility that the company could pre-empt demand for domestic and overseas stablecoin settlement based on its existing foreign-exchange licence, global cross-border partner network and bank transfer network.

On Oct. 13, LS Securities analyst Yoo-jin Sun (선유진) assessed Hecto Financial, saying she was paying attention to its "pre-emptive securing of a global payment and settlement network through expanded cooperation related to digital assets."

Hecto Financial previously joined CPN, Circle's global payment network, and recently also joined the OpenUSD ecosystem. LS Securities analysed that this is expanding the business base that can use various digital assets for payment and settlement.

It also cited the company's existing financial infrastructure as a competitive edge. It said Hecto Financial's foreign-exchange licence, global cross-border and PSP partner network, and bank transfer network could act as barriers to entry for new businesses.

It also expected improving profitability in the company's core business to continue. LS Securities analysed that the share of high-margin services will rise as a new service, with an improved transaction structure, resumes and as its cross-border settlement customer base expands from global commerce to travel and aviation. It also pointed to growth drivers including existing merchant transactions and inflows of new customers for simple cash payments.

LS Securities forecast Hecto Financial's revenue this year at 225 billion won, up 20 percent from a year earlier. Operating profit is expected to rise 67 percent to 26 billion won.

Sun said Hecto Financial has secured both its existing financial infrastructure and a global network, adding that fast business expansion and a re-evaluation of corporate value are possible after the market develops.