Danal is joining hands with Line Next to expand domestic real-world payments using JPYC, a digital asset linked to the Japanese yen. It aims to build payment infrastructure connecting overseas digital wallets with South Korea’s consumer market and to broaden the global digital-asset payment ecosystem.

Danal said on Wednesday it signed a strategic business agreement with Line Next, a Web3 affiliate of Japan’s LY Corp, to expand domestic real-world payments using JPYC. The agreement was signed at LY’s new Akasaka headquarters.

Under the agreement, Danal plans to build a “JPYC cross-border payment model” based on “Unify” with Line Next. It will use its digital-asset payment technology and patents, along with its merchant network.

The cooperation model is set to be applied to Danal’s foreigner prepaid card K.ONDA, which is to be launched this month, and to domestic online and offline merchants. This is expected to allow foreign visitors to South Korea to pay using JPYC in key consumer areas such as beauty, convenience stores and fashion.

The two companies also plan to expand JPYC payment services to major Asian regions, starting with South Korea.

A Danal official said, “The collaboration with Line Next will be a new case in which cross-border, digital-asset-based payments expand into real consumer areas beyond existing payment methods centered on overseas cards and currency exchange.” The official added, “As the foreign visitor consumer market grows, we will continue expanding payment infrastructure so payments can be made more conveniently and across a wider range of areas.”