Hyundai Card, the financial services arm of Hyundai Motor Group, is accelerating its blockchain roadmap after executing a stablecoin-based corporate payment on the Avalanche network.
Scaling up blockchain-based corporate payments
Heejung Nam, head of Payments and Business Development at Hyundai Card, emphasized the need to demonstrate the system’s viability on a larger scale following the successful trial. Nam stated that the real challenge lies in proving whether the stablecoin payment model can function effectively beyond the confines of a limited proof of concept.
The next step is to prove the entire operation model works at scale. If we manage to scale up, then the economic model fits.
Hyundai Card is currently testing whether the blockchain infrastructure can sustain significantly larger transaction volumes and increased operational complexity required for the global operations of Hyundai Motor Group.
Pilot details: Real cross-border settlement
In July, Hyundai Card reported the completion of a proof of concept for a real-world cross-border payment between its affiliates—Hyundai Motor America and Hyundai Motor Mexico. The transaction involved an intercompany transfer of $20,000, relatively modest by corporate standards but innovative because it used authentic company funds via stablecoins.
During the pilot, Hyundai Motor America converted $20,000 into USDT, the dollar-pegged stablecoin issued by Tether, then transferred the USDT to Hyundai Motor Mexico over Avalanche’s blockchain. The Mexican affiliate later exchanged the stablecoins back into U.S. dollars.
Hyundai Card reported that the end-to-end transaction required about seven minutes to complete. In comparison, a similar transaction using conventional banking methods generally takes at least three to four hours.
| Method | Time to Complete | Used Asset |
|---|---|---|
| Traditional banking | 3–4 hours | U.S. dollars |
| Blockchain (Avalanche/USDT) | 7 minutes | USDT stablecoin |
The initiative is a joint effort involving Hyundai Card, Hyundai Motor, Tether, Avalanche, and payments company Axiom.
An executive from Avalanche reported that this was not a simulated blockchain transfer but a genuine intercompany settlement of real funds.
Mini dictionary: Avalanche, a layer-1 proof-of-stake blockchain, is designed for high-throughput and low-latency transactions and often used for decentralized applications and payments.
Next steps and commercialization prospects
Many large corporations have explored blockchain-based transactions, but these tests have mostly remained at the demonstration stage. Hyundai Card’s project stands out because it used a stablecoin for tangible intercompany payments rather than simply simulating activity on a test network.
If successful, the pilot could pave the way for blockchain-based settlement infrastructure to become a routine part of the company’s treasury processes. However, Hyundai Card has not set a timeline for group-wide adoption and has not committed to full commercial rollout.
For now, the company continues to assess the scalability and reliability of blockchain solutions for enterprise use, aiming to redefine cross-border corporate payments in the automotive sector.
